So I will say guanxi is not an noticeable factor here. If you look back, how many SV startups are funded by people with a lot of resources, under the name of, networking? Does that count as your definition of social currency? In fact, guanxi, or 关系, in Chinese means connections. Sounds familiar, isn't it?
The reason China has a huge startup scene is not that hard to understand if you are willing to come out of your idealogical/cultural bubble:
1. Presence of GFW. It bars the competition from outside of China.
2. Cheap local talents. They work twice the hours, but possible rewarded with 1/2 or 1/3 of what their SV counterparts are earning. The Chinese system allows such exploitation, while not anywhere else in the world.
3. Vast market. There are 1B cellphone users in China, that alone could sustain several 100B companies.
Exactly why do you think I'm in an ideological or cultural bubble?
What personal experiences in China's new venture scene can you share with everyone on HN that does not involve guanxi at all?
Lastly I disagree with your assertion that guanxi is simply "connections" or "networks". Granted I am a westerner but I dealt with Chinese manufacturers and business partners for several years and my personal experience is that guanxi is much more than what you are implying.
It's not easy to summarise the importance and pervasiveness of guanxi... from a Western perspective it could be described as corruption but it's more like a social currency that is involved in any important transaction.