May 27, 2023

Central Bank of China introduced a new certification system for digital products

The People's Bank of China has compiled a list of 11 types of hardware and software that are local companies can use in the field of blockchain and financial technologies.

Listed digital products are subject tocompulsory certification. These include mobile terminals in shopping malls, embedded software, user applications, physical media and chips. The list also includes the Trusted Execution Environment (TEE) technology used to create blockchain networks and confirm transactions.

Verification will be carried out using the newverification systems for digital and financial products. The company whose product is tested will receive a Certification of Fintech Product (CFP) certificate. The certificate needs to be renewed every three years.

In addition, authorized bodies may conductunscheduled inspections at any stage of product manufacturing to identify possible legal discrepancies at the time the certificate is valid. At the same time, companies that have received a certificate are prohibited from directly using it for advertising and promoting their products.

The new fintech regulatory system is part of China's financial infrastructure development initiative. Recall that recently the head of the PRC called for accelerating the introduction of blockchain in the finance industry.