Chinese financial and tax regulators have issued a joint policy directive compelling banks and local authorities to integrate blockchain and privacy computing technologies into the nation's "bank-tax interaction" model. The notice, released by the State Administration of Taxation and the National Financial Regulatory Administration on Monday, aims to reduce information asymmetry and expand credit access for compliant small and medium-sized enterprises (SMEs).
The core objective is to leverage verified tax data more directly within the credit assessment process. Regulators are pushing for standardized data sharing between banks, taxpayers, and tax authorities to eliminate discrepancies and "blind spots" that have traditionally hampered small business lending. The policy explicitly instructs banks to refine their credit models, accelerate loan approvals, and increase financing support for "honest, tax-paying enterprises," signaling a shift where tax compliance becomes a central indicator of creditworthiness.
This move aligns with China's broader, multi-year strategy to embed blockchain into its national data infrastructure. A roadmap published by the National Development and Reform Commission in January 2025 targets nationwide implementation by 2029. Officials, including Deputy Director of the National Data Administration Shen Zhulin, estimate the initiative could attract approximately 400 billion yuan ($58 billion) in annual investments.
Notably, this blockchain push is strictly confined to enterprise and governance applications. The announcement reiterates China's continued strict prohibition on cryptocurrency trading and speculative digital assets, with regulators having expanded the ban in February 2026 to explicitly cover stablecoins and tokenized real-world assets.
