In the new regulatory norms developed by the Chinese authorities, emphasis is placed on countering illegal financial transactions, which, in turn, may serve as a reason for toughening the regulation of primary placements of tokens (ICOs). This is written by CoinDesk.
As the newspaper reports, the new bill was developed by the Office of Legislative Affairs of the State Council of the People's Republic of China. Before the law is adopted, within a month after publication, the document must pass a public examination.
In the field of ICO, Article 15 of the new bill, which deals with the rules for conducting fund-raising campaigns, can be applied. In overall, the draft law is aimed at counteracting the illegal attraction of capital.
"If an organization supervising unlawful fund-raising activities finds that it is carried out without a permit or violates legal regulations, and if the funds are attracted under the circumstances listed below, the institution will initiate an administrative investigation. Other relevant bodies will be obliged to facilitate the investigation, "the document says.
Among the areas covered by the new standards, the document specifies:
- operations with securities;
- attraction of financial resources;
- insurance services;
- asset Management;
- leasing operations;
- activity of credit unions and mutual funds;
- transactions with virtual currencies.
With the circumstances that may lead to the start of an administrative investigation, the use of virtual currencies to bring capital is indicated. The draft law also contains information that the government will create an interdepartmental committee to combat illegal methods of attracting capital.
Earlier ForkLog announced that the People's Bank of China does not consider bitcoin currency in the usual sense of the word and intends to deal with the regulation of ICO crypto-currency.