China declared crypto airdrop illegal.

[jeromix]

I came across to an article that China has declared crypto airdrop illegal. I just wonder why is that crypto airdrop was declared as an illegal where in fact we know that crypto airdrop were just like a giveaways to the team who promote the ICO projects. This is one way to attract a private investors and will certain a way also to gain more possibilities of success in promoting the project. So, how could a crypto airdrop be banned? What could be the reason behind the banning of crypto airdrop?

So, i read further about the article and found out that China has repeatedly imposed strict sanctions against cryptocurrency. The main reason for it is stated in https://cryptocurrencynews.com/china-bans-crypto-airdrops/ that

The People’s Bank of China, or PBoC, has classed token airdrops as “disguised” Initial Coin Offerings (ICOs). It detailed its new scrutiny in a financial stability report, published on Friday, November 2nd.

It just make sense how China reacted to crypto airdrops. The country doesn't have the likes on the ICO (Initial Coin Offerings) for some obvious reasons. And we know it already because there are plenty of ICO nowadays scamming investors or if not done scamming the project that will be implemented will not gone good and will just dump the project. Most of the project that was being brought up in the ICO were not really functioning and this will lead to undervalue the tokens/coins after the exchange listing of the tokens/coins. This is the problem with ICO's the team that manages the project will then just list their tokens and will not work on to improve more on the project. Though not all of the ICO were being dumped but basing on the number of ICO nowadays a huge percentage of it has come to the point that the tokens/coins were being undervalue and being dump. Project were dead.

Whom will going to blame for this after China declaring the crypto airdrop illegal?

[zacad]

Why is it responsible? I think this is correct. It is important to know that many scammers use the airdrop mission to defraud a lot of wealth. Airdrop behavior is essentially an advertisement for coins. Such a populous country should ban airdrops, as does India. The biggest drawback of cryptocurrencies is that they are too easy to be exploited by scammers. Otherwise, the price of Bitcoin has already exceeded $100,000.

[Rune]

Why is it responsible? I think this is correct. It is important to know that many scammers use the airdrop mission to defraud a lot of wealth. Airdrop behavior is essentially an advertisement for coins. Such a populous country should ban airdrops, as does India. The biggest drawback of cryptocurrencies is that they are too easy to be exploited by scammers. Otherwise, the price of Bitcoin has already exceeded $100,000.

So many fancy scams going on and many airdrops are just a way to advertise there scam. you pay people in your worthless token to help promote it there incentivized to help lure people in because you will make a profit if they buy in the "devs" make the real money people who get the airdrop make a little bit of money and investor lose all there money then coin is abandoned.

[Reatim]

No. It only makes sense for them to declare anything related to ICO illegal because in the first, they have ban ICO already. So I'm not sure about this news coming from China though. There's a report even saying that bitcoin is not the future of crypto anymore. Lol. But on the contrary they still hosted a lot of mining farms and have the total monopoly. I guess we really need to forget them and let Japan and South Korea lead the pack into the future of crypto.

[Slow death]

It just make sense how China reacted to crypto airdrops. The country doesn't have the likes on the ICO (Initial Coin Offerings) for some obvious reasons. And we know it already because there are plenty of ICO nowadays scamming investors or if not done scamming the project that will be implemented will not gone good and will just dump the project. Most of the project that was being brought up in the ICO were not really functioning and this will lead to undervalue the tokens/coins after the exchange listing of the tokens/coins. This is the problem with ICO's the team that manages the project will then just list their tokens and will not work on to improve more on the project. Though not all of the ICO were being dumped but basing on the number of ICO nowadays a huge percentage of it has come to the point that the tokens/coins were being undervalue and being dump. Project were dead.

Whom will going to blame for this after China declaring the crypto airdrop illegal?

It is true that there are many ICOs that are scam, but the reason why china has banned cryptos and ICOs it's because they are afraid of their people being free. The Chinese government is a shade and communist government, they centralize everything, their people are extremely controlled and the Chinese government restricts its people to have contact with the outside. Now imagine a government that restricts its people to have contact with the outside accepting something decentralized and that was created by a foreigner and anonymous, cryptos are a big danger to the Chinese government. So you have to ask me why the Chinese government still accepts mining?

Mining is a physical structure that the Chinese government has its location and know that it has control.

It is possible to create laws that will guarantee that the number of Scam ICO cases will be reduced, they do not have to ban the ICOs. But in the case of the Chinese government, they are afraid their people will be free.

[charlotte04]

I came across to an article that China has declared crypto airdrop illegal. I just wonder why is that crypto airdrop was declared as an illegal where in fact we know that crypto airdrop were just like a giveaways to the team who promote the ICO projects. This is one way to attract a private investors and will certain a way also to gain more possibilities of success in promoting the project. So, how could a crypto airdrop be banned? What could be the reason behind the banning of crypto airdrop?

So, i read further about the article and found out that China has repeatedly imposed strict sanctions against cryptocurrency. The main reason for it is stated in https://cryptocurrencynews.com/china-bans-crypto-airdrops/ that

The People’s Bank of China, or PBoC, has classed token airdrops as “disguised” Initial Coin Offerings (ICOs). It detailed its new scrutiny in a financial stability report, published on Friday, November 2nd.

It just make sense how China reacted to crypto airdrops. The country doesn't have the likes on the ICO (Initial Coin Offerings) for some obvious reasons. And we know it already because there are plenty of ICO nowadays scamming investors or if not done scamming the project that will be implemented will not gone good and will just dump the project. Most of the project that was being brought up in the ICO were not really functioning and this will lead to undervalue the tokens/coins after the exchange listing of the tokens/coins. This is the problem with ICO's the team that manages the project will then just list their tokens and will not work on to improve more on the project. Though not all of the ICO were being dumped but basing on the number of ICO nowadays a huge percentage of it has come to the point that the tokens/coins were being undervalue and being dump. Project were dead.

Whom will going to blame for this after China declaring the crypto airdrop illegal?

Seemingly, people and Governments in China doesn't want their people to have many money because they want their people to work hard for it and remain working for them for the rest of their life.

[dothebeats]

In a way, knowing that China is somewhat fickle-minded regarding their stance on cryptocurrencies, this is not really surprising anymore. IMO, crypto airdrops can be used as a form of enticement to the general public to participate in a later ICO,  and given that most ICOs end up being scams, it's yet another precautionary measure that China put in place in order to lessen the amount of scams plaguing their country. It still hasn't dawned to me how a country so dominant in minting cryptocurrencies end up not liking the idea of what they minted.

[logfiles]

IMO, crypto airdrops can be used as a form of enticement to the general public to participate in a later ICO

This was true back then when airdrops where worth it and there were barely no Scam ICOs bt right now, the situation is so terrible.
If it's true, then China is right to ban airdrops. They are an indirect way of promotion scam shitcoins

[Hagmonar]

That would be appropriate to avoid the risks of getting scammed and any other forms of fraud. It is good that China is aware to the increasing cases of money laundering to protect their people's wealth, unlike any other 3rd World Countries, they just really don't care and let their people be trapped in an endless waves of fake ICO's .

That is why, until now there is no significant changes in their economy.

[arbifahrozy]

in my opinion, it is normal if China applies ICO like that. because it was seen from several instances that many projects deceived investors and if they were successful only as an exchange of tokens only and did not continue long-term.

[CodyAlfaridzi]

That's expected considering how China has acted towards ICO. Like you mentioned in OP, most ICO and airdrop are a scam anyway so I don't think this will give us any bad effect. Who's to blame? No one. I mean it's just how China like to handle things. As long as they don't ban crypto outright, we should be fine.

[BrewMaster]

i believe the correct term that this website should have used is "ICO" not "Airdrop" because what Chine has banned is the Initial Coin Offering which is not really an airdrop! there is no reason to call them as airdrops.

this ban is not just about these ICOs being scams but it is mainly because there are no companies behind any of them and there is no reason for them to raise funds. so they are actually getting money for nothing and scamming people.

[XCANA]

These and many more stories are not expected at this time of trials in the life of cryptocurrency. Ilegalizing cryptocurrency airdrop is not a welcome development coming in from China which i will also say that, other country should not emulate China in a negative way and bringing in bad news about the said cryptocurrency, more also, china should allow it legality.

Edited:

[Osayo]

I don't think this is right for the Chinese to do. I thought they have already given cryptocurrency operation green flag in the country? Why are they now restricting airdrops which are also an integral part of the cryptocurrency activities? I think they should reconsider such decision.

[kryptqnick]

I just wonder why is that crypto airdrop was declared as an illegal where in fact we know that crypto airdrop were just like a giveaways to the team who promote the ICO projects.
The People’s Bank of China, or PBoC, has classed token airdrops as “disguised” Initial Coin Offerings (ICOs).
there are plenty of ICO nowadays scamming investors or if not done scamming the project that will be implemented will not gone good and will just dump the project.

Whom will going to blame for this after China declaring the crypto airdrop illegal?

You are right that for a country that prohibits ICOs it's natural to prohibit airdrops as well, since they are mostly offered by ICO teams. Anyone can understand the reason and the aim of such a policy. China is trying to protect its citizens from scam. Yet I think that banning is not a nice solution. Some of the greatest cryptos were raising funds through ICOs. Even is a lot of them are scamming people, it's unfair not to give a chance to that small category of great projects that need money. I think the better way is to make regulations and make sure that CEOs of the projects that scammed people will be considered criminals.

[darkangel11]

It's a pointless move because they can't know who claims an airdrop. What about forks? Are they also going to be banned?
If you download a wallet and register for an airdrop the Chinese government will come knocking at your door? This is getting more and more ridiculous but what would you expect from a country that censors the Internet.

[The Sceptical Chymist]

It is true that there are many ICOs that are scam, but the reason why china has banned cryptos and ICOs it's because they are afraid of their people being free. The Chinese government is a shade and communist government, they centralize everything, their people are extremely controlled and the Chinese government restricts its people to have contact with the outside.

That was my first impression upon reading this article, that it's yet another example of China imposing its political will on the citizenry.  But hey, the United States, land of the free and home of the brave, banned Americans from participating in ICOs as well if I'm not mistaken.  Not that I believe that the US government wants any less control over its population, but China is a communist country and that (IMO) is a much worse and far more repressive system.

It's a pointless move because they can't know who claims an airdrop. What about forks? Are they also going to be banned?

That's an interesting point, one of whether the rules can actually be enforced.  But I'd also add that simply having a rule against something will prevent most people from doing that thing--whether the rule can actually be enforced or not. 

It'll be interesting to see what happens.  I know airdrops are popular, but even if they were eliminated worldwide, crypto would survive and thrive anyway.  Still, I don't like to see legislation like this happening.

[Pab]

If ICO is illegal in China than same way airdrops are illegal
it is logic
Mostly all that airdrops are not worth even to give my eth adres
It is only playing role of advertising for some projects mostly scams
Last i have sign to Blockchain.info stellar giveaway
I have received stellar worth of 26$ but i have to give scans of my docks

[Sarastiche]

Alot of abuse going on in the crypcurrency space, The principle behind the airdrop give away has been abuse, Reason why china term airdrop as an Illegal platform, with regulations and policy formulation we can be sure of this been stopped. 

[bayu7adi]

I am on the Chinese side, it is true at this time, that the marketing strategy of using AirDrop tokens greatly impacts the worsening condition of the cryptocurrency. Today many ICOs provide their tokens for free to subscribers, the effect is, investors are deceived by the large number of paid subscribers and related tokens being worthless, because there are already many people who have them, and of course it is difficult to develop