Beijing releases Web3 White Paper to promote innovation and advance the industry

The Beijing Municipal Science and Technology Commission has released a white paper with the aim of promoting innovation and development within the Web3 industry.

The paper, known as the “Web3 Innovation and Development White Paper,” was presented at the Zhongguancun Forum by the Beijing Municipal Science and Technology Commission, also known as the Administrative Commission of Zhongguancun Science Park, according to local news outlet The Paper.

The commission plans to make Beijing a global innovation hub by allocating a minimum of CNY100m ($14m) annually until 2025. The funding will be used to improve policy support and speed up technological advancements to promote the growth of the Web3 industry.

Zhongguancun is often referred to as China’s Silicon Valley, and the commission is confident that the new funding allocation will help the area become a prominent global innovation hub in the digital economy.

China banned the use of cryptocurrencies in 2021. However, this new white paper suggests a willingness to open up to the industry, particularly after a cryptocurrency segment aired on China Central Television on 23 May. The segment featured NFTs prominently, including the Bitcoin logo and Bitcoin ATM in Hong Kong.

Although the video has since been removed, it is noteworthy that the state-run media outlet discussed cryptocurrencies positively.

China Releases Web3 Paper As Hong Kong Embraces New Regulatory Regime

In a recent tweet, Binance CEO Changpeng Zhao noted that the timing of the release of the white paper is significant, given that Hong Kong’s cryptocurrency regulations are set to begin on 1 June.

Under the new regulatory framework, the city-state will allow retail investors in the city to trade specific “large-cap tokens” on licensed exchanges, provided that safeguards such as knowledge tests, risk profiles, and reasonable exposure limits are put in place. The agency will also start providing licenses to crypto exchanges.

However, it noted that the licensed platforms should “comply with a range of robust investor protection measures covering onboarding, governance, disclosure and token due diligence and admission, before providing trading services to retail investors.”

Recently, the Hong Kong Police Force launched CyberDefender, a new metaverse platform aimed at educating the public about the potential dangers associated with Web3 and the metaverse. The platform was developed by the Cyber Security and Technology Crime Bureau (CSTCB) to prepare Hong Kong citizens for the challenges ahead in the digital age, with a focus on technology crime prevention.