Chinese firms say blockchain work at early stage, after shares surge

HONG KONG (Reuters) - Several Chinese companies, including Easysight Supply Chain and Shenzhen Kingdom Sci-Tech, said on Thursday their investments in blockchain technology were still at an early stage, following steep gains in their share prices.

Easysight Supply Chain Management Co Ltd plans to halt trading in its shares on Friday, it said in a filing on the Shanghai stock Exchange, after its stock ended up by the 10 percent daily limit due to media reports about its involvement in blockchain technology.

Blockchain is the backbone of bitcoin and other digital currencies that have surged in value in recent months, raising fears of a price bubble.

Shares of other companies, such as Shenzhen Kingdom Sci-Tech Co Ltd, Cashway Technology Co Ltd, Sunyard System Engineering Co Ltd and Client Service International Inc, also rose by the 10 percent daily limit on Thursday.

"Our company's blockchain technology is still in the nascent and exploration stages," Kingdom Sci-Tech said in a statement on the Shanghai exchange.

"We have not come up with specific products yet and therefore, there are no direct revenues from the blockchain technology arena."

Other companies made similar announcements on the Shanghai and Shenzhen stock exchanges, where they are listed respectively.

(Reporting by Lee Chyen Yee in SINGAPORE and Meg Shen in HONG KONG; Editing by Mark Potter)

Peaple also read these

Tesla's Musk discusses energy proposal with South...

Mar 11, 2017

US-AUSTRALIA-POWER-TESLA:Tesla's Musk discusses energy proposal with South Australian government

South Australia taps new gas plant, batteries to...

Mar 14, 2017

US-AUSTRALIA-POWER-TESLA:South Australia taps new gas plant, batteries to fix power crisis

China e-commerce confusion catches Australian...

Mar 14, 2017

US-AUSTRALIA-CHINA-RETAIL:China e-commerce confusion catches Australian retailers on the hop

Study: Stopping global warming only way to save...

Mar 16, 2017

A study of Australia's Great Barrier Reef shows that reducing pollution and curbing overfishing...

Army assesses damage after storm 'absolutely...

Mar 29, 2017

US-AUSTRALIA-CYCLONE:Army assesses damage after storm 'absolutely smashes' north Australia

Sign up now!