Venom Talks Signal China's Search for New Frontiers in Digital Finance

Chinese news portal Toutiao has reported that a leading fintech company in the country is exploring the possibility of acquiring blockchain infrastructure from Abu Dhabi-based Venom Foundation. While neither party has officially confirmed the negotiations, the very possibility of such a deal has sparked discussions about how China might use advanced blockchain platforms to advance into emerging areas of digital finance.

The report emerged against the backdrop of ongoing experiments by Chinese companies with blockchain in various forms. Earlier this year, Bit Origin pivoted toward digital asset infrastructure, even experimenting with Dogecoin in its treasury strategy. Despite market skepticism, this move demonstrated a willingness to explore unconventional paths. A Venom acquisition would represent a more ambitious step: rather than testing niche strategies, it involves integrating high-performance blockchain directly into financial systems.

Venom positions itself as a platform combining high speed with regulatory readiness. Recent stress tests showed throughput of 150,000 transactions per second with settlement finality in under three seconds. Synthetic trials suggest capacity could eventually reach even higher figures. The platform's sharding model and parallel execution allow it to scale under heavy load, while built-in compliance tools—from KYC and AML checks to state-backed stablecoin support—align with financial regulators' requirements.

The appeal of such technologies for the Chinese market becomes clear in the context of broader trends. The country's financial institutions are increasingly seeking ways to modernize real economy services through the implementation of artificial intelligence and distributed ledgers. Of particular interest are opportunities for supply chain financing, where blockchain transparency could solve the long-standing problem of banks' distrust toward small and medium enterprises. In parallel, infrastructure is developing for tokenized yuan capable of reducing dependence on dollar corridors in international settlements.

These opportunities have precedents in Chinese practice. Ant Group, Alibaba's financial arm, previously acquired stakes in regional fintech startups to expand Alipay's cross-border reach. By integrating external innovations into its platform, Ant demonstrated how large Chinese firms rapidly scale new technologies. A Venom deal would reflect the same logic, but on a much broader level, embedding blockchain infrastructure at the core of China's financial modernization.

Sources close to the negotiations indicate the deal could be finalized between late 2025 and early 2026, though company representatives have declined to comment. Regardless of timing, the talks point to a larger trajectory: China's financial institutions are no longer simply experimenting with blockchain—they are preparing to weave it into the fabric of their economy. The question remains whether Venom will be the platform that helps realize these ambitions, or whether the Chinese market will continue searching for optimal solutions among numerous international players.