Alibaba Launches Two New Blockchain Subsidiaries In Shanghai

Alibaba, China’s ecommerce giant, who has the most number of blockchain related patents, is reportedly incorporating blockchain into their daily functioning. The payment arm of the company, Ant Financial has recently launched two blockchain subsidiaries in the Huangpu District of Shanghai. According to data from the National Enterprise Credit Information Publicity System the two subsidiaries, named Ant Blockchain Technology Co LTD., and Ant Double Chain Technology Co LTD., has since its launch a registered capital of 100 million yuan, which is approximately $150,000.

As per the reports, both the companies will have quite a different area of expertise, within the scope of blockchain technology. While the first one – Ant Blockchain Technology, is supposed to focus on big data services, software development, network development, financial and technology consultation, along with projects related to computer information engineering, the second one has a different agenda. Ant Double Chain, will be more focussed on providing fintech-related services, including financial information and data services, supply chain management, consultation in the field of financial products, R&D etc. The report also elaborated that Double Chain stands for “blockchain” and “supply chain”, hinting at the company’s inclination.

This initiative indicates that Alibaba is trying to further its efforts in blockchain, especially in the fields related to supply chain finance, cross-border remittance, and electronic bill application.

This is not the first such foray made by Alibaba into blockchain technology. In June 2018, the company revealed that it had been successful in trying a brand new blockchain-based remittance service between Hong Kong and the Philippines. Jack Ma, the co-founder and the executive chairman of Alibaba Group, reiterated his confidence in distributed ledger technology and said,

“Blockchain should not be a tech to get rich overnight…There are still 1.7 billion people in the world who have no bank accounts, but most of them have mobile phones. The impact of blockchain on the future of humans may be far beyond our imagination.”