Blockchain makes censored information in China visible but not editable
Blockchain experts told Apple that the CCP is technically fully capable of tampering with data, but this is certainly contrary to the original intention of blockchain technology. According to a current affairs commentator, blockchain is ostensibly a favored drag, but in fact "it is a surveillance tool that is inextricably linked to big data state surveillance". In April last year, the global fire of the "#MeToo" movement against sexual assaults spread to the Mainland. A Peking University female student Xin YUE demanded the university to disclose records of a sexual assault that occurred 20 years ago. She was pressured by representatives of the University’s authority during numerous meetings. Many students put posters to demonstrate solidarity with Xin YUE. They confronted the University directly asking: "What are you afraid of?" Subsequently, YUE’s name, her open letters, and the contents of the solidarity posters were all blocked by the authorities. Mainland netizens attached the information of such data to the blockchain-operated cryptocurrency "Ethereum" trading network, making the censored information fully visible but not editable to all internet users, including the internet surveillance censorship officers.
Blockchain technology is a powerful weapon for the civil rights movement
The Xin YUE triggered sexual assault at Peking University was seen as the first civil rights protection case using blockchain technology. Since then there have been several civil rights protection cases being uploaded to the chains. It reveals that blockchain has a huge potential power for the civil rights movement in China to break through the authority’s state censorship. It only cost the users 49 cents USD (roughly about HK$3.82) to pin Peking University and CCP on the ignominy through the application of the blockchain. Furthermore, methods to educate netizens to browse the transaction record are available online, leaving the CCP on its back. From the perspective of the CCP, blockchain is undoubtedly the fish not netted in its big data surveillance. During a Political Bureau meeting on the 25th of last month, Xi Jinping-the General Secretary of the Communist Party of China (CPC) stressed that it is necessary to apply blockchain to financial and other areas. He mentioned that it is necessary to "strengthen the guidance and normalization of blockchain technology" through extending “the rule of law” to its management ", tantamount stringent State control over blockchain to maximize the advantages while preventing “troubles” to CCP.
The CCP centralized blockchain as part of the digital state surveillance system
Recently, WU Tong, deputy director of China E-Commerce Blockchain Committee of the Ministry of Commerce, stated explicitly that it is important for integrating blockchain into the governing system, "not only it will not be decentralized, but through information integration and centralization, it enhances the government's macro-control capacity", “blockchain will become the "teeth" of new state control tools.” Last month, Cai Liang, the Executive Vice President of the Blockchain Research Center of Zhejiang University, pointed out that one application of blockchain technology is “social governance”. Social governance, in the eyes of the CCP, includes the concept of national security. It seems explicit enough to anticipate CCP will make use of the blockchain to reinforce autocracy.
Nathaniel Taplin, a columnist for the Wall Street Journal, argued that blockchain technology appeals to totalitarian governments not because of its decentralized nature, but as a secured centralized information system. Blockchain expert, a partner of software company Redso Louis Li, told Apple Daily that "The Central government won’t feel comfortable if there are any blockchains in Mainland that cannot be monitored and censored….some blockchain companies in the Mainland have applied for patents to fundamentally alter the nature of blockchain technology in order to make it centralized; managed by administrators, to turn the supposed to be immutable transaction record data mutable. Li stressed that the spirit of blockchain is decentralization. “It is a regressive step to change a decentralized system to a centralised system.” He added that some existing global blockchain alliances also alter the data, but the editing of data and information are voted by the various stakeholders of the alliance chains. It cannot be comparable to the dictating decisions made by authoritarian governments. In response to the "anti-censorship capability" of blockchain, the "Cryptography Law of PRC" passed on the 26th of October stipulated clearly that "Cryptography must not be used by any organization or individual to engage in illegal or criminal activities that endanger national security, the societal public interest, or the lawful rights and interests of others, and so forth.” Blockchain infrastructure operators which fail to follow the provisions of the China Cybersecurity Law will be fined up to RMB 1 million (about HK$1.1 million).
Big data, blockchain and the Cryptography Law are the three major pieces of the digital dictatorship in China. Big data is the personal data that the CCP collects from citizens on various sources. Blockchain is a conglomerate of big data. The Cryptography Law aims to keep blockchain technology in bay. “In contrast to the democratic countries in Europe and America, CCP can order 1.4 billion people to use blockchain to fast-track implementation", Lento Yip , the Chairman of HK Internet Services Providers Association, told Apple, “By then, China will have a more pervasive super-surveillance power.”
On the surface, blockchains ‘promotes’ a digital economy but in practice, it strengthens the digital dictatorship that runs rampant in China.
Johnny Lau, veteran current affairs commentator in Hong Kong, pointed out that the building of civil rights protection cases, such as the YUE Xin incident, challenged the CCP. They see blockchain technology ‘endangering’ “national security” by opening cracks to state ideology control. It may weaken Xi Jinping's "four self-confidence" by exposing the dark side aspects of China. The positive aspects of blockchain is promoting digital economy. Some people even think it's a new financial instrument.” However Lau sees that "blockchain will become part of the state surveillance system. "Since the beginning of internet era, the CCP has enacted many laws and regulations to enhance surveillance of the people.
The CCP can be technically advanced but unless they are willing to embrace governing in modern civilization standards, it is pointless to have much technical savvy.
How does Blockchain works?
1. A send money to B.
2. The transaction is represented online as a “block”.
3. The block gets distributed across the network.
4. The network verifies the transaction is valid.
5. The block is added to the chain, reconciling across the network and create a permanent record.
6. A’s record of ownership of money moves to B. Transaction is completed.
State-controlled pseudo blockchain (“Block” chain but without a block or chain)
Source: Apple Dairy
https://hk.news.appledaily.com/china/realtime/article/20191106/60233625