ZW Data Action Technologies, Inc. (NASDAQ:CNET) ("ZW Data" or the "Company"), an integrated online advertising, precision marketing, data analytics, and other value-added services company, today announced that the Company has established a strategic cooperation with Shanghai Weiyou Information Technology Co., Ltd. (the "Weiyou Information") pursuant to which the parties will jointly develop a Platform (as defined below). Through the Platform, certain "Blockchain + Insurance" services are expected to be provided for small and medium-sized enterprises, contributing to the insurance ecosystem with a blockchain technology upgrade.
Weiyou Information was founded in 2015, and its insurance brokerage and technology platform, Klover InsurTech, focuses on digital insurance services, providing streamlined, transparent, and affordable insurance products and value-added services by leveraging innovative cloud computing and big data internet technology, and complying with insurance and finance regulations. Currently, Weiyou Information has cooperated with many well-known companies, including People's Insurance Company of China, Ping An Insurance, China Pacific Insurance Company, China Life Insurance Company and more, and its business and service cover multiple cities across Eastern, Southern and Central China.
The two parties will jointly develop and establish a cost-efficient insurance platform ("Platform") based on ZW Data's blockchain technology. Through the Platform, Weiyou Information will provide one stop services, ensuring that all the processes and data of the related insurance could be verified and tracked, improving the transparency and credibility for all participating parties. In addition to Klover InsurTech's current auto insurance, ZW Data and Weiyou Information will jointly conduct research and development on other types of insurance products. Meanwhile, the Company will cooperate with a variety of new media's platforms to promote the Platform.
According to Global Blockchain in Insurance Industry Databook (2016-2025) from Businesswire, Blockchain spend in insurance industry across globe has increased at 123.5% during 2018 to reach US$ 567.6 million. Over the forecast period (2019-2025), spend on blockchain is expected to record a CAGR of 42%, increasing from US$ 1,108.7 million in 2019 to reach US$ 12,913.3 million by 2025.
"Blockchain and other internet technology is rapidly emerging, and becoming a backbone in all industries, which is constantly impacting the traditional business management model. As one of the main pillars of finance sector, the insurance industry is very likely to become the scaling and important market for applying the blockchain. We believe that this cooperation will promote the long-term development of our blockchain-related services and technologies," commented Handong Cheng, Chairman and Chief Executive Officer of ZW Data.