Now that everyone and his uncle are talking about cryptocurrency (some are panicking due to the September 2017 BTC price drop), regulators are on the lookout for reasons to suppress cryptocurrencies. Just one day after Paris Hilton pumped yet another ICO on her Twitter,
— Paris Hilton (@ParisHilton) September 3, 2017
…China has introduced a complete ban on ICOs.
Chinese legislators have banned fund-raising of fiat money or cryptocurrencies through Initial Coin Offerings. Special state commission is about to inspect about 60 ICO platforms that are active in the country.
The commission that deals with risk and security in China’s Internet finance sector has concluded that ICO fundraisers are too closely related to fraudulent activities to be left as they are. They have published a report that, along with other scammy practices has mentiond ICOs as a source of fraud.
No wonder this has happened considering some of the shady ICOs worldwide lately. So far over $1.6 billion was raised with ICOs, around $400 million of that being in China. All the Chinese ICOs that took place will be investigated by state now. Hopefully no one will get executed.