25.000 Chinese blockchain companies want to issue their own crypto

Tens of thousands of Chinese blockchain companies have tried to issue their cryptocurrencies, said senior Beijing government official.

25000-chinese-blockchain-companies-want-to-issue-their-own-crypto

Chinese blockchain company tries to issue tokens

Under the direction of China’s central bank, five senior financial and technology officials published the “Blockchain Green Book” report last Thursday (November 20), listing the illegal acts. And conspiracy scams in the blockchain field.

In an interview with state-run CCTV, Yedong Zhu, president of the government-backed nonprofit Beijing Blockchain Application Association, said:

“About 70% of Chinese blockchain companies – equivalent to 25,000 companies – may have tried to create and issue their tokens. Meanwhile, only 4,000 companies focus entirely on blockchain applications. ”

The most popular method of issuing digital currencies is ICOs that have been listed as illegal by the Chinese authorities since 2017. However, the country still allows people to participate in mining and owning standard cryptocurrencies.

This information emerged following Beijing’s latest “crackdown” on prohibited financial activities related to ICOs and cryptocurrency trading. Last week, the People’s Bank of China branch in Shanghai posted a plan to “rectify” trading platforms.

Going back to the report, more than half of the 28,000 blockchain companies are currently registered in Guangdong province – close to China’s Shenzhen “Silicon Valley,” while the rest are headquartered. in Beijing and Shanghai.

Zhu said:

“We need to ensure that blockchain companies raise capital illegally and commit financial frauds not to participate in the state’s blockchain development assistance program.”

This is just one of three “green book” reports that will set up a framework for Chinese officials to manage emerging FinTech. The remaining two reports refer to the technologies being used by government and financial technology.

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