Zhou Hongjiang (L), chairman of Changyu, and Ma Bin (R), vice president of Tencent Group, unveils the blockchain project on July 30. [Photo/dzwww.com]

Yantai-based wine producer Changyu Group is cooperating with Tencent, a leading internet company in China, to apply blockchain technology in wine production.

The launching ceremony for the blockchain cooperation project was held on July 30 at Changyu Wine Culture Museum in Yantai, Shandong province.

It is the first time that blockchain technology has been used in the wine industry in China.

As a traditional consumption industry, the wine industry faces fierce competition in both domestic and international markets.

"Using blockchain technology can help reduce counterfeiting, improve customer trust, and aid in the development of reliable wine brands," said Ma Bin, vice president of Tencent Group.

Changyu, as a leading enterprise in the domestic wine industry, has applied digital management systems to planting, production, sales, and management in the wine industry and has implemented effective anti-counterfeiting traceability for products.

Next, Changyu and Tencent will collaborate to build a domestic blockchain traceability system. They will invite the local authorities such as municipal market supervision bureau to oversee the quality of the entire wine industry, creating a situation where wine companies can rely on the regulatory authorities to enhance their brand credibility and brand value.