ICOs in China are getting out of hand. Word of mouth on successful ICO for both the companies involved and investors can easily spark a frenzy of copycats and people wanting to jump on the get rich quick bandwagon. The government knows that things can get out of hand very quickly and will do anything to protect the public and ultimately protect themselves from things going wrong. In China frenzies can quickly turn into uprisings a thing that the government want to prevent from happening.