China Giving Crypto Power Back To The People, Sort Of
Last week, Chinese authorities made their vision on cryptocurrencies very clear, as new movements took hold across the country banning certain aspects of the industry, including the spread of crypto news on social media giants, WeChat, a block on over 100 cryptocurrency exchanges via Chinese internet and even a ban on event venues in Beijing hosting cryptocurrency and blockchain related events and conferences.
Overall, until now China has remained very much on the fence, now though after last weekâs events, it seems that they are intent on banning cryptocurrency altogether, something that could eventually have a very big impact on the markets and even more of an impact on localised cryptocurrencies such as NEO and TRON.
The latest news from China is continuing to reinforce the notion that China are very much against crypto. It seems that they are giving some power back to people in China, but as optimistic as this sounds, it isnât. Instead, Chinese authorities are giving Chinese people the power to report on illegal ICOs, by working alongside the government and the authorities.
According to reports, The China National Internet Finance Association (NIFA) have opened up a new platform through which people can report illegal âtoken offeringsâ. NIFA is a branch of the Peopleâs Bank of China and thus is a readily available platform with huge national reach. Within this, NIFA will manage an online portal that will allow people to report ICOs and token offerings in a bid to allow citizens to police the growing illegal cryptosphere in China.
As I have said, itâs giving people in the country some power, but in turn thereâs an ulterior motive. This has been designed to simply reinforce the idea that cryptocurrency is a dangerous propaganda, itâs a clever way to make people think they are in control of the situation and are doing some good, instead though they are only going to contribute to the suppression of the industry and the inevitable end for cryptocurrency in China.
According to Coindesk, NIFA have commented:
"This platform is responsible for gathering reports and complaints regarding internet financial activities and transferring to relevant government agencies, which will take on further actions according to existing regulations upon receiving the reports."
The premise is simple, the public report the ICO or Token Sale, NIFA then go on to take action. Itâs flawless, fool proof and has just made ICO style investment in China almost impossible.