China Group Sets ICO Rules

Blockchain, FinTech, ICO News, Investing, News, Regulation | July 26, 2017 By:

A day after the US Securities and Exchange Commission warned of a crackdown on initial coin offerings (ICO), some Chinese companies have agreed to a similar path.

Six Chinese blockchain companies have issued a joint protocol, called the “Guiyang Blockchain ICO Consensus,” that outlines ways to manage ICOs in China.

Leading the proposal was the Guizhou Blockchain Industry Technology Innovation Alliance, Zhongguancun Blockchain Industry Alliance, Blockchain Finance Association, Guiyang Blockchain Innovation Research Institute and two other unnamed entities, according to a report from the China Money Network.  

There are 43 platforms providing ICOs in China, most located in Beijing, Shanghai and Guangdong. The Guiyang protocol is not binding on all, but participating companies represent more than 60 percent of the providers, which should help sway the others toward compliance with its guidance.