[2018-01-26] More Crackdown?China Warn Against Risks of Offshore ICOs And Virtua

[lylian]

January 26, 2018-Beijing, National Internet Finance Association of China (NIFA) this Friday issued a warning calling on investors to see clearly the risks of offshore ICO and “virtual currency” exchanges and firmly establish the risk-prevention awareness.

The warning is in line with the Notice on ICO issued by seven ministries led by the People’s Bank of China (PBoC) last September or better known for September Ban in China. It sharply points out that ICO activities are illegal and disruptive to economic and financial stability. All token fundraising shall stop immediately, all financial institutions and non-bank payment agencies shall not engage in business related to the issuance and fundraising of tokens. Many investors blamed this ban for the subsequent sharp decline in cryptocurrency markets, which saw almost $35 billion wiped off of the total capitalization in several days.

Offshore OTC trading targeted

At present, relevant clean-up of domestic ICO activities and cryptocurrency exchanges has been basically completed, while during which some investors turned to offshore-located activities...

http://news.8btc.com/china-regulatory-authority-warn-against-risks-of-offshore-icos-and-virtual-currency-transactions

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[lylian]

China is targeting at offshore ICO & virtual currency trade, will there be offshore ICO ban after Sep ICO ban in China?

[jjacob]

While China has shut down Bitcoin exchanges, trading of bitcoin through P2P platforms is still legal. When people have access to buy bitcoins, there is little the government can do to stop them from investing in overseas exchanges or ICOs. The virtual world knows no boundaries.
If the Chinese government is really worried, you can expect a direct crackdown on all aspects of Bitcoin (P2P exchanges, mining, etc) in the near future.

[lylian]

Yes, if you wanna buy bitcoin, you can find way to buy it. While it is said China's demanding banks and payment companies as Alipay and wechat to contain payment related to crypto tradings, if the authority does mean it, it will be not easy for Chinese investors' fiat-to-token trade.