On Sunday AM EST, Bitcoin rose above $10,000 since the beginning of June. Bitcoin rallied a bit but then gained 1.9% and stayed around that number. The cryptocurrency wasn’t stable for almost two months before increasing the current stability on the stock market. Banks are also willing to provide beneficial services for crypto-owners and traders to push the economy forward. Experts say that bitcoin will have to rise for another 2000 dollars to be sure what to do next.
Decentralized applications becoming one
The Chinese government approved a very ambitious project – connecting all disparate blockchain platforms to communicate with each other. Red Date Technology is a Beijing company, and it is the first blockchain initiative that the government supports fully. Their idea is to push The Blockchain-based Service Network (BSN) on the global market.
The main goal
It would serve as a hub to build dapps (decentralized apps). The most important thing is that this hub would be able to track everything from money transactions to illegal business is going to function using cryptocurrencies. In short, it would be like a crypto-cloud service that would connect various programs and platforms. The Blockchain-based Service Network presented this idea in April and gained the attention of more than 6,000 enterprises and individuals, mostly from China. They would allow everyone to create crypto-based apps without publishing offerings on some random platform, or more, which is usually a slow process. This means they would integrate every platform into one.
What it means
This bold move would move the technology of cryptocurrencies beyond sketchy trades. BSN wants to make it cheap, fast, and integrate it into one system. The first line would be Ethereum, Neo, and four more public blockchains, starting in August this year. Their ultimate goal is to integrate around 100 public chains until the end of 2020. 90% of the cost would be erased, BSN stated.
The History of Red Date
Mister He (44) founded Red Date in 2014 privately as a tech supplier to Chinese smart-city projects. That happened after he made relationships with national champions China Mobile and UnionPay firm, as well as the State Information Center, the country’s top economic planning agency. The four businesses created BSN in 2018, and the three of them spent $30 million to build out the technology that could be of great use to the stock market.
Chinese attitude towards blockchain
Beijing’s politics is rather double-faced; it is more than willing to use the technology to serve the real economy but has also banned exchange trading. To give an example, within the China borders, developers won’t be able to use BSN to access public networks like Ethereum, which puts limitations on many users and traders.
Chinese distrust and global tension is the main obstacle for BSN to go global. But BSN’s alternative is to set up an offshore branch to integrate with public chains easily. Red Date plans to choose a minimum of seven partners without Chinese support to co-manage a new platform for the cryptocurrency market called BSN International. This is only the frame of the main idea, and details are yet to be revealed.
How will the platform work
Dapp creators will have to pay fees based on how much of the cloud storage space they use, which will be deployed in global cities. Mister He estimates it will take three to five years for the project to make an actual profit. Although they have the government’s support, He said Red Date doesn’t want to take funding from China’s government or any state business, because they prefer their independence. The project details will become more available to the public by going open-source in the next couple of years. It is interesting to see how the stock market exchange will function after the platform starts operating in full force.