Tencent Cloud Announces New Web3 Initiatives

Could China’s sentiment towards cryptocurrencies be a turning point? A Tencent Cloud change this week could certainly hint at that. An unexpected investment in web3-related tools will hit the market from the team at Tencent Cloud, positioning the Chinese tech company alongside other global tech companies to make recent advances in web3 such as Google and Amazon.

The technology conglomerate’s new Web3 investment will also include a new set of native crypto partnerships.

Renewed Crypto Optimism in the East

Longtime crypto viewers are no strangers to the ‘China narrative’ that has often plagued short-term price movement in recent years. ‘China bans Bitcoin’ effectively turned into a meme in crypto’s early years, but could the tide be turning? This week, our team covered the possible shift in sentiment from Chinese leaders, as well as efforts in Hong Kong to allow direct investment in digital assets — a move that Beijing authorities have apparently approved so far.

It’s been a relatively unexpected shift from the traditional perspective; in the west, the US is signaling greater regulatory efforts around crypto. As we covered in our report this week, “local digital currency business operators [in China]… Suspect that Beijing intends to use Hong Kong as a conduit to access crypto transactions.”

That narrative will be reinforced by Tencent Cloud’s latest announcement this week. In a public relations announcement released on Wednesday, Tencent Cloud shared a new set of native cryptographic partners, as well as a new list of Web3-based initiatives. These initiatives include blockchain-based APIs, ‘metaverse-in-a-box’ offerings, and much more. The announcement was made shortly after the company’s first Web3 Summit, the tencent Cloud Web3 Build Day in Singapore.

Tencent (OTC:TCEHY) is bolstering efforts in Web3 via it's Cloud division. | Source: OTC:TCEHY on TradingView.com

New Tencent Cloud crypto-native partnerships

Tencent Cloud will team up with a select group of cryptocurrency characters to achieve its goals, including Ankr, Avalanche, Scroll and Sui. Let’s take a quick look at how each partner will add value to Tencent’s new suite of services:

• Ink: As an infrastructure provider, Ankr will work with Tencent Cloud to “jointly develop a complete set of blockchain API services that provide a high-performance, globally distributed, decentralized RPC node network.”
• Avalanche: Builders should be aware that Avalanche will work with Tencent Cloud to build scalable solutions for developers. According to the release, a “fully synchronized Avalanche full node has been configured on Tencent Cloud and will enable fast and efficient node setup for developers.”
• Scrolling: Scroll is working to build a fully EVM-compatible open source zk-Rollup, and the two will work collaboratively on scaling solutions.
• Sui: This lesser-known Layer-1 blockchain will focus on optimizing high-performance games and bolstering infrastructure needs for builders specifically in Web3 games.

In a statement included in the press release, Senior Vice President of Tencent Cloud International Poshu Yeung stated:

“At the tencent Cloud, we see a future with Web3, a new iteration of the internet that introduces the concept of ‘Immersive Convergence’ where the physical and digital economies meet and integrate. With more companies now interested in exploring and adapting to an efficient and transparent digital future, we are ready to leverage our many years of technical experience in the gaming, audio and video fields to provide solid technical support for Web3 and work with industry partners to create a more immersive experience and nurture a better Web3 ecosystem.”