Chinese People’s Bank threatens with ICO ban

Bitcoin Watch Shop

According to reports, the Chinese People’s Bank (PBOC), the Central Bank of the People’s Republic of China, is considering suspending all ICOs in the country should legislators discover “high risks” for consumers. It appears that the first measures are already under consideration.

According to the Chinese-speaking magazine Tencent Finance, representatives of the Chinese central bank, the stock exchange supervisory authority, the banking regulation committee and other regulators were already on 18 August to explore various regulatory options. The aim is to limit the size of ICOs, to strengthen the disclosure of information, and to examine and approve ICOs in the future. If there are significant concerns from the regulators, there is even the possibility of a complete ban on ICOs in China.

So far the market for cryptosciences in China is still completely unregulated. The absence of an authoritative body means that ICOs in the airless space can be created almost everywhere, and at any time, without a sustainable, blockchain-based project. This could indeed pose risks to potential investors.

On the other hand, the Asian market, led by China, is currently experiencing a regular ICO boom and is currently the world’s fastest growing crypto market. It is highly questionable whether these numbers really come to an ICO complete ban. However, the fact that the Chinese regulators will take their task very seriously in order to achieve a minimum of structure in the hitherto extremely confusing and chaotic Chinese cryptographic market is regarded as a matter of fact.

In this way, the People’s Republic has joined the ranks of states which have recently become regulators and have issued guidelines for greater control of the ICO market, such as the USA, South Korea, Canada and Singapore.

The Bitcoin News