Three recent China-related stories point in the same direction. Digital finance is being treated less like a loose technology trend and more like strategic infrastructure that the state wants to shape, use, and control.
Signal one: yuan as reserve currency
One signal came from economist Kenneth Rogoff, who said the yuan could become a meaningful global reserve currency within five years.
In the same discussion, he tied that possibility to China building stronger financial infrastructure, opening parts of its bond market, and reducing dependence on dollar-centered rails such as SWIFT.
That is a pretty big deal, because reserve-currency status is about who gets to build the pipes through which trade, savings, and influence move, not just prestige.
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Signal two: blockchain for state-approved finance
A second signal came from inside China’s domestic financial system. Tax and financial regulators urged banks and local authorities to use blockchain and privacy computing to upgrade the “bank-tax interaction” model, standardize data sharing, and expand lending to small businesses.
The policy notice also fits a broader national push to build blockchain-based data infrastructure, with a 2025 roadmap targeting nationwide implementation by 2029 and officials pointing to 400 billion yuan in expected annual investment.
Signal three: Bitchat removal
Then there is the Bitchat case. Apple removed Jack Dorsey’s decentralized messaging app from China’s App Store at the request of the Cyberspace Administration of China.
Public reporting says regulators flagged the app under rules covering services with “public opinion or social mobilization capabilities.”
Bitchat runs over Bluetooth peer-to-peer links rather than the regular internet, which helps explain why it sits awkwardly with a system that wants digital channels to remain visible and governable.
bitchat pulled from the china app store pic.twitter.com/jrrd0gDrA9
— jack (@jack) April 5, 2026
The pattern gets clearer
Put those together and the pattern gets clearer. China appears to be encouraging blockchain when it strengthens state-approved finance and data coordination, while pushing back against decentralized communication tools that are harder to supervise.
That is an inference from the three developments above, but it is a grounded one.
It shows, or at least, hints where the crypto and blockchain debate is heading. The future of these technologies will depend less on whether they are useful in the abstract and more on which parts of the stack a state wants to absorb, regulate tightly, or keep out.
A split world
That could lead to a split world. Blockchain may keep growing as a state-backed financial tool, while more open, harder-to-control crypto-style systems face tighter limits.
In that sense, digital finance is becoming part of a sovereignty contest over who controls the next generation of money and communication rails.
Crypto market researcher and external contributor at Kriptoworld
Wheel. Steam engine. Bitcoin.
📅 Published: April 7, 2026 • 🕓 Last updated: April 7, 2026
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