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The Chinese Communist Party has identified blockchain as a key tool for reforming and improving the country’s social services, Cointelegraph reports.

On August 25, the General Office of the Central Committee of the Communist Party of China and the General Office of the State Council issued guidance on innovation for regional departments.

The document is meant to reflect a “people-centered approach” in the spirit of the party’s 19th National Congress, with a comprehensive strategy for providing basic social protections and services, emergency relief and distributing resources.

Key to this vision is the role played by modern technologies and digitization, which the party addresses throughout the paper, and analyzes in a section devoted to decentralization reforms.

This section addresses state officials, enterprises, institutions, grassroots mass organizations and social organizations. They are asked to report to country-level officials should they face obstacles to providing basic support and assistance to local communities, Cointelegraph reports. 

For this to work, the Party notes it is gradually working towards establishing nationwide connectivity and digitizing social security systems. Its strategic vision is to use blockchain technology, artificial intelligence, big data and 5G in social assistance provisions.

The party plans to rely on a national data sharing and exchange system and to improve its database and information management for social assistance carried out by governmental departments and other regional organizations, the Cointelegraph report adds.

Blockchain technology and other innovations are proving to be a consistent cornerstone of Chinese state policy.