75,000 new ventures signal unstoppable digital transformation

In a stunning demonstration of technological ambition, China saw the creation of around 75,000 new blockchain startups last year, according to a report in DL News. This significant surge, identified in early 2025, brings the total number of blockchain companies operating in the country to approximately 290,000. Therefore, this data reveals that despite the complex regulatory environment for cryptocurrencies, distributed ledger technology is deeply and acceleratingly integrated into the country’s economic structure.

Decoding the numbers for 75,000 Chinese blockchain startups

The new reported number of Chinese blockchain startups at 75,000 calls for immediate situational analysis. First, it is important to define what a “blockchain startup” is in this context. Many of these companies are likely to focus on enterprise applications of blockchain technology rather than crypto trading or public decentralized finance (DeFi). These applications include:

• Supply chain management: Enhance product transparency and traceability.
• Digital identity: Create a secure, user-controlled identity verification system.
• Intellectual property and copyright: Use blockchain for immutable proof of creation and ownership.
• Government services: We will introduce blockchain to areas such as notarization, tax records, and government.

This growth is directly in line with China’s 14th Five-Year Plan (2021-2025), which clearly prioritizes blockchain as a core technology for innovation. Additionally, local and regional governments are actively launching blockchain industrial parks and innovation funds to provide direct incentives for entrepreneurship. This surge is therefore not a coincidence, but the result of sustained top-down policy support for the underlying technology.

Broad situation of Chinese blockchain companies

With around 290,000 blockchain companies currently operating, China’s ecosystem is perhaps the largest in the world in terms of registered commercial entities. However, analysts emphasize the need to distinguish between size and maturity. Most of these companies are likely to be small and medium-sized enterprises (SMEs) or project teams looking for a proof of concept. For comparison, consider the following snapshot focused on global blockchain enterprises.

Moreover, the growth of blockchain companies in China is geographically uneven. Major technology hubs such as Beijing, Shenzhen, Hangzhou and Shanghai are home to the majority of well-funded and established companies. Meanwhile, these cities are vying to become national leaders in blockchain innovation. At the same time, a state-backed blockchain-based service network (BSN) aims to provide a standardized infrastructure, reduce development costs and accelerate the adoption of these new startups.

Expert Insight: Distinguishing between hype and sustainable growth

Dr. Li Wei, a technology economist at Fudan University, provides a critical perspective. “While the actual number of 75,000 new Chinese blockchain startups is impressive, the key metrics are the survival and scalability rates over the next three years,” she points out. “Many ventures are exploring niche applications such as logistics, produce tracking, and digital certificates for small and medium-sized businesses.The true impact will be measured by how many companies achieve commercially significant adoption and contribute to measurable productivity gains.”

Moreover, this growth occurs within a strict regulatory sandbox. Although China banned crypto trading and initial coin offerings (ICOs) in 2017 and reinforced this stance in 2021, it has actively promoted non-financial applications of blockchain. This creates a unique dichotomy, with the burgeoning enterprise blockchain sector and the banned public crypto market operating in parallel. Startups should therefore carefully navigate this landscape, focusing on permissioned or consortium blockchain models that align with regulatory expectations.

Driving force and economic effects

Several interrelated forces drive this expansion. Mainly, China’s digital transformation across all industries is creating huge demand for reliable and efficient solutions that blockchain can potentially provide. The post-pandemic economy has also accelerated the digitalization of business processes. Second, large amounts of capital are flowing into the space from both government-led funds and private venture capital in search of blockchain’s “next Alibaba.”

The potential economic impact is multifaceted. On the other hand, successful blockchain companies in China have the potential to create high-value jobs in software development, cryptography, and system architecture. On the other hand, widespread adoption could reduce fraud, streamline administrative burdens, and lower costs in areas such as cross-border trade and supply chain finance. However, challenges remain, such as interoperability between different blockchain platforms, energy consumption of some consensus mechanisms, and the need for skilled human resources.

conclusion

The creation of 75,000 new blockchain startups in China last year is a strong indicator of the country’s strategic focus on mastering fundamental digital technologies. This growth, which brings the number of blockchain companies to around 290,000, reflects a national project to build next-generation digital infrastructure. While the long-term trajectory of these individual startups remains uncertain, their collective efforts solidify China’s position as a global hub for enterprise blockchain innovation, development, and experimentation, distinctly separate from the volatile world of crypto markets.

FAQ

Q1: Does this growth mean China is embracing cryptocurrencies?
No, China strictly prohibits virtual currency trading, mining, and ICOs. This growth is focused almost entirely on non-financial enterprise applications of blockchain technology, such as supply chain, identity, and government services.

Q2: What is a blockchain-based service network (BSN)?
BSN is a state-backed global infrastructure network that aims to provide a standardized environment for the development and deployment of blockchain applications. It aims to make blockchain development as easy and affordable as cloud computing, especially for Chinese startups.

Q3: How do these numbers compare to blockchain startups in the US and Europe?
Differences in definitions and reporting make direct comparisons difficult. China is likely to have a much higher number of registered entities, partly due to certain policy incentives. In the Western ecosystem, ventures focused on various areas such as DeFi and Web3 are often smaller in number, but in some cases have greater capital strength.

Q4: Are these startups only found in big cities like Beijing and Shanghai?
While major technology hubs dominate, many new blockchain companies are also emerging in second- and third-tier cities in China, often supported by local government innovation zones and industrial policies aimed at regional economic development.

Q5: What are the biggest challenges facing these new blockchain startups?
Key challenges include moving beyond pilot projects to achieving real-world adoption, navigating a complex regulatory environment, competing for technical talent, ensuring interoperability with other systems, and proving a sustainable business model to justify the use of blockchain versus traditional databases.