Cryptomoney: China bans ICOs

Would the era of the cryptomoney be tilting? While the bitcoin continues to soar, several state regulators and financial market regulators are beginning to intervene to regulate the circulation of cryptomoney (Bitcoin, Ethereum, etc.). After the SEC (Securities and Exchange Commission), which has already issued official warnings on the risks of ICOs (Initial Coin Offering) in the US, China has decided to take action.

The Chinese central bank announced an immediate ban on financing by ICO, which "seriously disrupted the economic and financial order". According to the Chinese site Caixin, the committee that made this decision prepared a list of 60 exchanges that will be inspected and reported. Pending the outcome of these investigations, all ICOs will be frozen in China. At the same time, ICOage and ICO.info, two of the largest Chinese platforms that connect tokens with buyers, have suspended their services.

$ 400 million raised in ICO in China since January
This unfavorable opinion of the Central Bank of China for the ICO echoes a recent warning issued by the Singapore Monetary Authority (MAS). "ICOs are vulnerable to the risks of money laundering and terrorist financing because of the anonymous nature of transactions and the ease with which large sums of money can be raised in a short period of time, banking on 1 August.

Increasingly, ICOs, which are cryptomy fundraisers, have become easy ways for companies around the world to raise millions of dollars in a matter of minutes. Last May, Brave, the web browser created by Brendan Eich, the co-founder of Mozilla, raised $ 35 million in just 30 seconds. In China, the success of the ICOs has not stopped with 65 such operations this year that raised $ 394.6 million from 105,000 Chinese citizens, according to data from the Chinese government.