China’s plan to establish a social credit system (SCS) has aroused the concern of building a surveillance state. Yet this view oversimplifies and misunderstands the essence of the SCS. The highest priorities of the SCS are promoting economic credibility and reinforcing court orders. Meanwhile, the SCS aims to steer citizens’ social behaviors and interactions by utilizing a redlist system that introduces numerous moderate rewards. The SCS is also more lax in execution than in planning. It reflects a unique Chinese understanding of law, which treats law as a moral guide. This article also acknowledges the concerns for the SCS. Without actively preventing positive and negative invasions in the construction of the project, the SCS authorities will risk creating further mistrust in society.