Jinqiu shares listed on the New Third Board, promoting the implementation of blockchain financial scenarios

On July 18, Shanghai Jinqiu Industrial Co., Ltd. was listed on the New Third Board (stock code: 837901), becoming the first listed financial technology company in the Shanghai Free Trade Zone.

Shanghai Jinqiu was registered in China (Shanghai) Pilot Free Trade Zone in October 2013. It mainly engages in cross-border RMB payment and clearing, financial tax management, financial compliance big data, credit management system and other software development, and provides tax SaaS cloud services. Currently, it has more than 60 banking and financial institutions as clients, 15 pan-financial clients, and is also an IT+T partner of Deloitte, PwC, KPMG and EY. In 2015, it completed its A round of financing with a valuation of over 100 million yuan.

In the first half of 2016, Jinqiu Co., Ltd. established a financial blockchain division to study financial scenario applications based on blockchain technology. Zeng Linchuan, general manager of the blockchain department, has been exposed to Bitcoin and blockchain since 2013. He is also one of the first entrepreneurs in the blockchain industry in China. Zeng Linchuan said that as a company listed on the New Third Board, Jinqiu Co., Ltd. will invest heavily in the blockchain field in the future, focusing on the safe and controllable research and development of the underlying architecture of the financial blockchain and the financial scenario applications that combine the characteristics of the Chinese market.

Internet platform connector, solving the problem of on-chain and off-chain entry

Zeng Linchuan mentioned that what Jinqiu wants to do is to be an "internet platform connector". The company currently has more than 200 software developers, more than 90% of whom have 5-10 years of experience in the financial industry, so technology is no longer the biggest problem. He believes that the most important thing for blockchain applications at present is to solve the problem of the entrance from the chain to the off-chain, which involves the integration of multiple resources, and this is also the advantage of Jinqiu.

According to reports, Jinqiu currently has several business directions in the blockchain field, mainly for financial technology. In the fields of general digital asset registration and transfer, financial institution tax audit, etc., some businesses will complete prototype development within this year. At the same time, it is actively cooperating with external organizations and Fintech companies such as the Financial Blockchain Alliance established this year and the US blockchain payment company Circle.

Starting from the blockchain technology 2.0 smart contract, Jinqiu developed the "universal digital asset registration and transfer platform", which can be applied to supply chain finance, digital bills, digital credit, microfinance, collateral management and equity registration. In fact, there are already many similar "digital asset registration and transfer platforms" based on blockchain. Zeng Linchuan revealed that Jinqiu wants to build a universal asset registration platform, the biggest feature of which is demand-oriented, using Jinqiu's existing resources to directly connect with banks and companies in need, such as real estate companies.

In line with the research topic of the central bank, it focuses on solving the pain points of bills and credit reporting systems

The current bills in my country are divided into paper bills and electronic bills. The main defect of the current bills is that it is difficult to effectively control and prevent risks. Bills are forged, one bill is sold multiple times, bills become financing arbitrage tools and a cover for evading financial supervision, and the supervision of bill business is inefficient and costly.

Li Lihui, former governor of the central bank, published an article this year suggesting the application of blockchain technology to speed up the development and trial of digital bills. One of the major business directions of Jinqiu Blockchain is digital bills. Compared with electronic bills, digital bills using new technologies such as blockchain have many advantages: lower cost, less risk; complete data, transparent information; intelligent management and control.

Credit investigation is also a major business direction of Jinqiu Blockchain. The pain points of the current credit investigation system in my country are:

"On the one hand, the internal coordination mechanism of banks is not perfect, and it is difficult to conduct credit investigation for different types of derivatives; on the other hand, the data of private finance and banks are actually separated, but the two sides do need each other. Jinqiu wants to build a universal platform to solve these problems." Zeng Linchuan introduced. Using blockchain technology, credit information cannot be tampered with, which reduces the cost of credit investigation, provides multi-dimensional and accurate big data, and breaks the problem of information islands in the credit investigation system.

The first financial technology company listed in Shanghai Free Trade Zone

Since the second half of 2015, the concept of blockchain has gradually become well-known. But so far, there are still only a handful of listed companies in the blockchain industry. At the end of May this year, blockchain concept stocks led the rise, which also shows the market's enthusiasm for blockchain investment. Jinqiu shares' listing on the New Third Board is actually the first financial technology company listed in the Shanghai Free Trade Zone.

Previously, there was only one company involved in the concept of blockchain on the New Third Board: Saiyi Intelligence (430070.OC). Beijing Saiyi Technology Co., Ltd. was established in March 2006 and listed in July 2010. On April 13, 2016, it established a subsidiary, Taiyi Cloud Technology, and became the first company on the New Third Board to explicitly engage in the development and application of blockchain technology.

In addition to listing on the New Third Board, Credit China, which was listed in Hong Kong long ago, also entered the blockchain field this year. On May 3 this year, Credit China and BitFury Group signed a share purchase agreement to subscribe for 205,917 shares of BitFury Group's Series A preferred shares at a total price of US$300,000,477.73.

In June this year, the listed company Luyitong (300423) announced the acquisition of Canaan Creative and began to lay out blockchain and artificial intelligence. The announcement shows that Luyitong purchased 100% of Canaan Creative's equity by issuing shares and paying cash. After the acquisition is completed, Canaan Creative will become a wholly-owned subsidiary of Luyitong. Luyitong has transformed into a blockchain and artificial intelligence computing chip designer, becoming the first pure blockchain industry chain target in the A-share market.

As the understanding of the concept of blockchain continues to deepen, the market's acceptance of blockchain increases, and blockchain applications are gradually implemented, I believe that we will see more blockchain listed companies in the future.