“Economic reference”: for the regulators decisive remediation ICO applause


Edit: pencil casen

August 30, the well-known ICO project platform ICOINFO announcement that the initiative to suspend all ICO business. At that time there was news that ICO regulatory policy will be introduced at the end of the year, or Beijing will be the first.n
nSeptember 4, the central bank joint network letter, the Ministry of Industry and Information Technology, the State Administration for Industry and Commerce, the China Banking Regulatory Commission, the Securities Regulatory Commission, the CIRC and other six departments issued a “to prevent the risk of tokens issued financing notice,” said ICO is essentially a Illegal acts of illegal financing, suspected illegal sale of tokens, illegal securities issuance and illegal fund-raising, financial fraud, pyramid schemes and other criminal activities. On the same day, the tokens market crashed.n
nICO (Initial Coin Offering), simply to be modeled on IPO (initial public offering), through the issuance of encrypted tokens in the way of financing a behavior.n
nNational Internet Financial Security Technical Committee issued the “2017 first half of the domestic ICO development report” shows that the first half of this year, China has completed a total of 65 ICO projects, the cumulative financing scale of 2.616 billion yuan, the cumulative number of participants reached 105,000.n
nICO first appeared in 2014, the second half of 2016 began in the country. 2017 years after the domestic ICO project gradually increased, and in June this year, blowout. And business listing financing (IPO) there are many regulatory requirements is different, ICO in a regulatory vacuum, the lack of norms and low threshold.n
nIn the ICO investors who excite the forum, filled with a “coin” who wake up overnight to find themselves have achieved the story of financial freedom. Riches under the myth, the capital big strides admission. There are reports that, known as China, “Bitcoin richest man,” Li Xiaolai, with five days to complete the project called EOS block chain project ICO, successfully raised $ 185 million. And his July presided over the PressOne project, even the white paper are not, only took 4 hours to attract 14,000 people involved in financing nearly 500 million yuan.n
nSpeaking, ICO in China, the entire financing plate is not much, the number of investors involved is not too much. But the regulators pain, because ICO was explosive growth and contains a huge financial risk. According to reports, the central bank stakeholders to study a large number of ICO white paper, the conclusion is: “90% of the ICO project suspected of illegal fund-raising and subjective intentional fraud, really raise funds for the project investment ICO, in fact, even 1% “Regulators and a number of senior legal experts to discuss the conclusion is: ICO just wear a legitimate vest, its essence is disguised illegal fund-raising. Even if the ICO can get rid of the suspects of illegal fund-raising, but also involves significant contract fraud.n
nIn the ICO qualitative as illegal financing, the regulatory measures “one size fits all” remediation chaos. First of all, all kinds of tokens issued financing activities should be immediately stopped; has completed the tokens financing financing of the organization and individuals should make such arrangements. Second, any so-called tokens financing trading platform shall not engage in legal currency and tokens, “virtual currency” between the exchange business between each other, not trading or as a central counterparty trading tokens or “virtual currency”, not for the tokens or “Virtual currency” to provide pricing, information services and other services. Finally, the financial institutions and non-bank payment agencies may not directly or indirectly for the coin issue financing and “virtual currency” to provide account opening, registration, trading, liquidation, settlement and other products or services, shall not be covered with tokens and “virtual currency “The relevant insurance business or tokens and” virtual currency “into the scope of insurance liability.n
nIn China, ICO was “mission off”. In this way, to the decisive point of supervision of the palm.n

Leave a Reply

Your email address will not be published. Required fields are marked *