China Expands National Blockchain Network for Cross-Border Fintech

China has expanded its National Blockchain Service Network (BSN) to support cross-border fintech operations, enhancing connectivity between domestic and international digital finance systems. The upgrade aims to facilitate real-time settlements, improve data traceability, and enable regulatory-compliant smart contracts for trade, banking, and insurance sectors.

Officials and industry experts say the move positions China as a key player in setting global standards for blockchain interoperability while integrating the technology into the country’s next phase of digital economy growth.

National Blockchain Network Enters Global Phase

The BSN, first launched in 2020, now connects more than 300 cities and 50,000 corporate nodes across China. The latest expansion includes cross-border pilot programs in Singapore, the United Arab Emirates, and Kazakhstan, allowing businesses to conduct transactions in multiple currencies using blockchain-based smart contract systems.

According to the State Information Center, the upgraded BSN International platform enables interoperability between public and permissioned blockchains, a crucial step toward establishing a unified digital infrastructure for financial services.
The network will also provide integrated APIs for fintech startups, banks, and regulators to verify digital assets, manage supply-chain financing, and automate compliance procedures.

“China’s blockchain expansion demonstrates how infrastructure innovation can lead to global collaboration,” said Zhang Wei, director of the Blockchain Research Office at the Chinese Academy of Information and Communications Technology. “It is the foundation for a trusted data environment across industries and borders.”

Policy Alignment and Financial Strategy

The initiative is part of Beijing’s broader effort to build a secure, programmable financial architecture under the 15th Five-Year Plan. The Ministry of Commerce and the People’s Bank of China (PBoC) have endorsed blockchain integration for international trade settlements, emphasizing transparency, efficiency, and reduced transaction costs.

In coordination with China’s digital yuan (e-CNY) project, the BSN’s expansion will allow automated conversion between digital currencies during cross-border transactions, enhancing liquidity and reducing dependence on traditional intermediaries.

Ledger Insights reported that the BSN will serve as the digital infrastructure for the Digital Silk Road Finance Consortium, connecting fintech hubs across Asia, the Middle East, and Africa. The consortium is expected to boost adoption of tokenized trade instruments, cross-border remittances, and blockchain-based letters of credit.

“The synergy between the digital yuan and blockchain settlement tools will redefine cross-border finance,” said Liu Feng, fintech policy analyst at Renmin University. “It provides China with both technological leadership and regulatory influence.”

Industry Participation and Pilot Applications

Several major banks, including ICBC, Bank of China, and Ping An Bank, are participating in the pilot phase to test blockchain-based settlement systems for trade finance.
Companies in logistics, renewable energy, and commodities trading have also joined to explore programmable payments that release funds automatically when verified milestones are achieved.

Shenzhen’s Qianhai Financial Pilot Zone is one of the first regions implementing BSN infrastructure for smart trade settlement between Chinese and ASEAN enterprises. The platform enables digital verification of shipping data and customs documentation, significantly cutting paperwork and transaction time.

Private-sector firms such as Ant Group and Tencent Cloud are contributing to the network’s data interoperability layers, ensuring that financial applications can integrate seamlessly across ecosystems.

Shaping the Global Fintech Landscape

Analysts view China’s blockchain expansion as a defining move in the race for global fintech infrastructure leadership.
By establishing transparent and programmable cross-border frameworks, China aims to reduce systemic risks in international trade while promoting digital trust through verifiable transactions.

Experts predict that by 2027, more than 40 percent of China’s cross-border settlements could be conducted through blockchain-enabled systems, combining the strengths of digital currency, smart contracts, and real-time regulatory oversight.

The BSN’s global reach is also expected to encourage international collaboration, as nations increasingly look to China’s model for secure and interoperable digital finance networks.