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Premium Perspective For A Chinese Market Cryptocurrency

By Rubika Ventures on Altcoin Academy

In a recent report regarding and as related cointelegraph, The China Electronic Information Industry Development (CCID) rated EOS at the first spot among the other 37 cryptocurrencies.

The published 13th update of their crypto rankings chart and not much has changed.

The three main attributes that were judged were the technology behind the project, the applicability of what it offers, and creativity along the way of development.

All these crucial aspects combine to structure a ‘total value index,’ on behalf of which a digital asset is ranked. Furthermore, China’s Ministry of Industry and Information Technology directly oversees the CCID.

Some regard the Chinese cryptocurrency rankings as a list of what cryptocurrencies China’s government perceives to ”be the best”. EOS has been in the top spot since it started being ranked in June last year (2018).

“The results show that the world’s major Dapp platforms, still rank in the top three”. — EOS, Tron, Ethereum

On the other side, it could be that no one takes China’s rankings quite seriously. However, a few industry professionals believe that these are very bullish signs by China. Moreover, one should note that China’s crypto rankings generally favor large-capacity blockchains over proof-of-work blockchains. Although this is questionable, the CCID has stated in its May report that the criteria will remain consistent.

The Evaluation Model

So how does China evaluate these projects?

There must be united criteria, because there are total index points on each section (Technology, Applicability, Creativity) and in the end, they get summed together. CCID has revealed their criteria and described each of them and how much of the total score does it account for. Noting that this category “mainly examines the technical realization level of the public chain, including function, performance, security, and decentralization.”

For example,

  • Technology (or Basic Tech how it’s in the research) accounts for 65% of the total score and is evaluated by looking at the public chain, and inspecting areas such as function, performance, decentralization, and safety.
  • Applicability is being evaluated by looking at how practical applications are being added to the project. This index accounts only for 20% of the total score. Adding that this category mainly evaluates “the comprehensive level of public chain support for practical applications.” Unlike the basic technology category, the center said that on average “the applicability index has increased from the previous period.”
  • Creativity, this accounts only for 15% of the total score and the researchers are looking at how many developers are there on the project, how recently the code is being updated, and which other projects have affected or influenced the code of the project. This category focuses on “continuous innovation in the public chain.

Overall, this list might be something to think about. Because this is China’s Center for Information and Industry Development, it’s no independent bloggers’ research, this is coming from the country communist is the largest population in the world.

Even though China banned cryptocurrencies and banned Bitcoin mining back in 2017. It is not hard to say that China isn’t pro-blockchain. So this should be only considered as long-term advice. Recently, Chinese President Xi Jinping has appealed for greater urgency in the development of blockchain technology. Moreover, China is leading in the blockchain research filing ahead of the United States.

With things getting better in the crypto space, EOS looks to prove a point with its dominance in the ranking. EOS has gained the trust of Chinese authorities, and it appears that the increase in users has played a crucial role in getting the concentration of projects.

At the time of writing, EOS holds the 7th spot with a market cap of $3.154 billion. The trading price of EOS stands at around $3,36 with a slight up.

Turning Point For The Cryptocurrency

Chinese President Xi Jinping has appealed for greater urgency in the development of blockchain technology in a move analysts say could open up a new front in the country’s growing rivalry with the United States.

As general secretary of the Communist Party of China Central Committee, Xi chaired a meeting on the subject with senior cadres. Blockchain would play “an important role in the next round of technological innovation and industrial transformation”, Xinhua quoted him as saying at a group study session for members of the Politburo on Thursday. As such it should be made a key part of the country’s innovation program, and investment in the sector should be increased, he said.

“Major countries are stepping up their efforts to plan the development of blockchain technology. Greater effort should be made to strengthen basic research and boost innovation capacity to help China gain an edge in the theoretical, innovative and industrial aspects of this emerging field.”

Xi said blockchain technology could be applied to many different fields, including finance, education, employment, elderly care, poverty alleviation, health care and food security, infrastructure management, and public services.

Blockchain is a form of encrypted ledger. With each transaction, the chain grows but all previous records are stored and are verifiable. The technology could be used, for instance, to provide evidence of a company’s business operations, which in turn could help it to secure financing and reduce the risks faced by lenders.

The technology behind such “immutable records” is already being used to track and trace the supply of food — from farm to store — by simply scanning a quick-response code.

“The technology could empower industries, increase their efficiency and lower their costs,”

A number of developers in China are working on creating the basic blockchain solutions for different industries, and according to a report by The Financial Times, Chinese companies have filed more patents on blockchain than anywhere else in the world.

Xi said China should step up the standardization of blockchain to increase its influence and “rule-making power” in the global arena.

“Just like the Belt and Road Initiative’s railways and power grids, and Huawei’s 5G telecommunications networks, standardized blockchain solutions are a kind of basic infrastructure for future global economic activities,”

“When Europe, Asia, even the US, have to turn to the Chinese for such solutions, there might be more Huawei's emerging.”

The US and China are already engaged in a tech war over companies like Huawei, and any advancement of China’s expertise in blockchain could open up a new front in the conflict, analysts said.

Meng Yan, deputy head of the Chinese Institute of Digital Assets, said Xi’s remarks could spark a race to become the global leader in the digital economy.

“We are in the middle of a digital arms race,” he said in a recent article.

At the Politburo meeting, Xi did not mention cryptocurrency — the best-known application of blockchain technology. China has banned bitcoin and all other cryptocurrencies.

But the issue should be of interest to Beijing’s policymakers, especially with Facebook’s planned launch of its Libra digital currency next year. Were it to take off on a global scale there would be very little room for China to launch a rival.

Money issuance, even on the internet, is a matter of state sovereignty. China cannot afford to concede or lose,”.

We’ll keep you updated as this timely issue evolves and in summary, we are walking in Long with EOS with that one fundamental and technical analysis.

Therefore, if you are interested in knowing who we really are, we invite you to read this article “Financial Education As Innovated Strategy For Saturated Market”, where we really want to show you our future and the advantages of being part of our premium club.

See you in the next. With Love 💛, Rubikators Team.

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