In December 4th, the Beijing mutual Gold Association issued “risk tips on the prevention of criminal activities in the name of STO”, which said:
STO suspected of illegal financial activities, should strictly abide by the state laws and regulatory provisions, immediately stop all kinds of publicity and training, project introduction, financing and other activities on STO. Institutions and individuals suspected of illegal violations will be severely punished by displacing, closing the site and moving APP, and revoking their business licenses.
At this point, the STO, which was previously fry, was sentenced to “death penalty” by the Chinese mainland. In fact, in December 1st, in Beijing, the “2018 (seventeenth) annual meeting of Chinese enterprise leaders”, Huo Xuewen, director of the Beijing Municipal Bureau of local finance supervision and administration, warned STO practitioners in his speech that if activities were carried out in Beijing, the government would drive away from illegal financial activities.
In October this year, under the bear market, the STO that many people thought was the best way to save the city became hot. At the end of October, after tZERO’s STO project was approved by SEC, STO was also discussed by more people. At that time, many practitioners had or were ready to enter the STO field. At a time, more and more training and conferences related to STO were involved.
About STO, the Odaily daily article “about STO, five of your most concerned questions are in this diagram,” the “Why, What, Who, Where, How” of STO. At the same time, “STO: the good recipe for the rescue of the city or the cutting edge?” “STO is in a very early stage in terms of compliance, underlying technology, and the two level market trading platform, and the liquidity is not high.”
In the face of the heat of the STO, the active people in the circle had different views.
Chen Weixing says STO is a trend, and the future will be the world of Security Token. Of course, there are also people who do not look at STO. The second Lord of Bao said in the community,
STO can’t get up now and have the wrong time! ICO started to fire because it caught up with a bit of a bit of a bitcoin. After that, the ether workshop was also driven by the upsurge, which was the ICO upsurge. And now, it’s in a bear market. Even if there is a STO project, how do the retail owners be put to vote?
Will the sea play be restaged again?
STO was previously thought to be the legal form of “1CO”. After the last 1CO was banned, multiple block chain projects were selected out of the sea. After the STO was sentenced to death, would the same trick still be performed?
In fact, the giant in the block chain has already begun to lay out. It has been revealed that the exchange OKEx will develop the securities Token trading platform and is currently establishing a joint venture with the Malta stock exchange and will establish a STO exchange according to its regulatory framework. Coin an and the block chain company of Berlin, Neufund, wants to establish a securities Token trading platform.
At present, few countries / regions to accept STO, Japan and Malta are more relaxed for STO, but the United States and China Hongkong are more stringent in this respect.
In the United States, for block chain projects, Reg D, Reg A, and Reg S are generally selected for exemption from registration, and the issue of SEC registration to issue securities is required within the constraints of the relevant rules.
The Fintech legislative framework report, released by the Hong Kong exchange in October 18th, pointed out that regulators need to keep pace with the pace of financial technology. Existing financial laws should be applied to companies in the field of financial science and technology, as they are similar to traditional services. For example, block chains can be introduced into the fields of investment, transaction, liquidation and settlement. Similarly, the issuance of digital assets on a block chain can be constrained by the existing securities regulatory framework.
In addition, some projects have been trying to make relevant standards, such as the ST-20 standard made by Polymath, and the ERC-1400 standards set by the Tai Fang community.
Will the founder board be the next hot spot?
Look at the creators that were previously thought to split the STO. At the opening of the first China International Import fair in Shanghai National Convention and Exhibition Center in November 5th this year, the chairman announced that it would set up a CBO and pilot registration system on the Shanghai stock exchange.
It is reported that the positioning of the board is a scientific and technological innovation enterprise. About the similarities between the STO and the founder board, “how the block chain enterprises should understand STO and the impact board and its impact” is that, as far as the similarities of the two are concerned, there are mainly two: the first, both provide a channel for the financing of new high-tech start-ups; the two is that both of them are under supervision and according to the law, which is different from the previous 1CO in the block chain industry.
There is a view that the block chain in the early stage is not suitable for the upper section. According to media reports, a brokerage in Shanghai has said that the enterprises needed by the company are the leading segments of the industry. It is a “invisible champion” that is difficult to be listed in the current institutional framework of the country. For some fields, the technology, such as the block chain, is not yet formed and is not suitable for the company.
Whether the board will be the next hot spot for block chain companies, the answer may come when more details of the board appear.
However, it is worth noting that the Shanghai urban block chain technology innovation and industrialization base, established in September 6th, has 50 enterprises. Odaily Star Daily reporter before the interview base director Wang Yi, asked whether the base will provide support or policy support to the block chain enterprises, Wang Yi said that the enterprise that can go to the company needs to meet certain conditions, this is the basis, but the base will gather good brokerage and other service institutions to provide support to the enterprise.
The original text of the “risk tips on preventing the implementation of criminal activities in the name of STO” is as follows:
In September 4, 2017, the people’s Bank of China, such as the seven ministries and commissions jointly issued the “bulletin on preventing the risk of issuing and financing the issue of generation and financing”, and clearly pointed out that “the issuance and financing of the currency refers to the so-called” virtual currency “that the main body of the financing is sold and circulated through the rules of the token, and raises the so-called” virtual currency “to the investors. It is essentially a kind of unauthorized and open financing, which is suspected of illegal selling of token, illegal securities and illegal fund-raising, financial fraud, pyramid marketing and other criminal activities. After that, the people’s Bank of China, the Banking Regulatory Commission, the central network credit office, the Ministry of public security, the General Administration of market supervision, the China Internet Financial Association and the Beijing Municipal Bureau of local financial supervision and management have also issued relevant risk tips.
In the near future, we have found that some organizations or individuals continue to engage in activities such as STO (Security Token Offering, that is, securitized token issuing) in the name of publicity and training, project introduction, and financing transactions.
Here, we solemnly remind the relevant agencies and individuals in the city that all financial services should be included in the supervision. STO suspected of illegal financial activities, should strictly abide by the state laws and regulatory provisions, immediately stop all kinds of publicity and training, project introduction, financing and other activities on STO. Institutions and individuals suspected of illegal violations will be severely punished by displacing, closing the site and moving APP, and revoking their business licenses.
At the same time, remind the majority of investors should keep rational, enhance the awareness of risk prevention, the initiative to resist illegal financial activities, beware of being deceived. The clues to the discovery of illegal crimes can be reported to the relevant departments actively.