According to a report published by Chinese information resource Toutiao, a major financial technology company from China is negotiating to acquire blockchain solutions from Abu Dhabi-based Venom Foundation. If confirmed, this deal could become a landmark for integrating high-performance blockchain infrastructure into the Chinese financial system, particularly against the backdrop of recent government directives on the financial sector’s digital transformation.
The potential deal echoes the strategy that Ant Financial (now Ant Group) attempted to implement in 2016 when trying to acquire MoneyGram for $1.2 billion. Although that deal was ultimately blocked by U.S. regulators citing national security concerns, it demonstrated Chinese companies’ willingness to invest significant resources in cross-border payment technologies. Today, with the geopolitical landscape changed, acquiring technologies from neutral jurisdictions such as the UAE may prove a more realistic path to achieving similar goals.
Venom is a Layer-0 blockchain platform designed with both corporate sector needs and government regulation in mind. The platform demonstrated the ability to process 150,000 transactions per second with completion within three seconds during recent stress tests. The system’s architecture uses dynamic sharding and parallel smart contract execution through a unique TVM (Threaded Virtual Machine) actor model, allowing operations to scale without performance loss. Importantly, the platform inherently includes regulatory compliance mechanisms, including KYC and AML procedures, as well as the capability to issue government-backed stablecoins.
Interest in such technologies has intensified significantly after the People’s Bank of China, together with six other key agencies, issued the “Guiding Opinion on Financial Support for New Industrialization.” This document officially elevated blockchain and artificial intelligence to the status of “financial infrastructure” for the first time, requiring financial institutions to use these technologies to improve services to the real economy, especially small and medium enterprises. The directive explicitly points to the need for blockchain applications in creating “digital credit” systems and transparent supply chain data tracking—precisely the areas where Venom’s capabilities could prove particularly valuable.
Parallel to the Venom negotiations, China’s financial sector is demonstrating growing activity in blockchain innovation. Major banks in the country have already launched pilot projects using distributed ledgers for trade financing and supply chain management. The central bank continues testing the digital yuan, while local governments are experimenting with blockchain platforms for government services. The new government directives transform these experiments from optional initiatives into mandatory elements of financial infrastructure.
According to sources, the deal could be completed between late 2025 and early 2026, though official company representatives refrain from comment. If negotiations succeed, this could set a precedent for further inflow of international blockchain technologies into China, especially those that meet the new regulatory requirements for building “digital financial infrastructure.” The question remains whether this deal will become a catalyst for a new wave of technological acquisitions or remain an isolated case in the constantly evolving digital finance landscape.
The post Chinese Fintech Sector Targets Venom Blockchain as Part of Digital Modernization Strategy appeared first on Metaverse Post.
Also read: Zypher Network Airdrop: Binance Alpha Lists POP on Sep 10
