10 arrangements that might change the future of Chinese bitcoin exchanges

[hl5460]

10 self-regulation arrangement of Chinese Blockchain sectors
No.1: Setting up a compliance department: Blockchain companies are supposed to have a compliance department and staff members responsible for risk management and compliance evaluation as a way of complying with the rules and regulations of relevant government watchdogs.
No.2: Credible and manageable blockchain system: Establish scientific blockchain management framework and multiple security mechanism. Blockchain system must be tested and accessed by a third party to make it credible, objective and manageable.
No.3: Complying with financial orders: Blockchain companies in financial community should stick to their professional ethics when providing technological service. They should work with licensed companies to reject any requests from a risky company or organization and fight against money laundering through identity management.
No.4: Registration: Service providers for Chinese users should register their company names, legal persons, business models and risk control methods to local regulators.
No.5: Improve users’ awareness: Blockchain companies should remind users of the risks to make them objective to blockchain and they are allowed to encourage users to invest blockchain-related business. In addition, their operation should be in compliance with Advertisement Law of the People’s Republic of China and refrain themselves from launching or getting involved with such fundraising initiatives as ICO.
No.6: Anti-money laundering and anti-telecommunications fraud: Exchanges should comply with anti-money laundering rules of opening a real-name account, identified trade and “single card policy”. Blockchain companies should work to avoid fake accounts by updating real-name system through video identification and biometrics and report suspicious transactions to regulators.
No.7:Anti-multi-level marketing: According to regulators, risk control methods and technologies should be adopted, such as an annual withdrawal limits per person. And it will take more time for those first withdrawing coins so as to reduce possible losses.
No.8: No market manipulation and embezzlement: Trading platforms and key staff members with inside information should not make any transactions to manipulate market. Service charges standards made by self-regulation committee must be strictly observed to avoid fake transactions, leveraged and financing transactions. Besides, capitals of platform users should be kept by a third party.
No.9: Information sharing system: An information sharing mechanism should be established where blockchain companies and trading platforms can share their whitelists and blacklists with each other and work with regulators to eliminate suspicious transactions, trying to set up a multinational mechanism to fight against money laundering around the world.
N0.10: Protect individual privacy: The security of digital assets represents the security of personal property for digital asset is a form of personal property. In reality, however, the security of personal property can be threatened by possible privacy breaches, which requires each and every blockchain company to protect individual privacy.

http://news.8btc.com/10-rules-that-might-decide-the-future-of-chinese-bitcoin-exchanges

[Xiaoxiao]

If these arrangements or some of these arrangements are put into motion, it will certainly cause more stabilization in the market, and perhaps less overall growth of bitcoin.

[Kakmakr]

If these arrangements or some of these arrangements are put into motion, it will certainly cause more stabilization in the market, and perhaps less overall growth of bitcoin.

Yes it will, but it would also strip Bitcoin from all the pseudo-anonymity it might have offered it's users. If you read between the lines, you will see what their aim is. They want to control the people that are using Bitcoin and monitor every aspect of their finances.

I would much rather use cash, than having to explain to some Chinese government agent, why I bought scented panties or a Dildo for my spouse or girlfriend. ^hmmmmmm^

[hl5460]

ICO is the next big business and no one wants to give it up.

[Raxitto]

Fraudulent ICOs became a serious problem in China, with new concerns that participants might even get a death penalty under local law. The phenomenon of ICOs has been drawing the attention of the investment market, and can be a great deal. But as with any medium, there are pitfalls and fraudulent schemes. This can have dire consequences for ill-informed Chinese investors. While they are reporting that there are many real ICOs and that they are a great investment option, the warnings also serve to alert you to possible frauds and to remind you that all of this is running out of regulation.