The official news agency of china released a statement condemning the virtual currency as a tool used by the criminal to escape prosecution from the government. The agency said that the regulatory authorities should take a tougher stand against the use of crypto-currencies to prevent crime, although some of the proposed regulations seem to indicate that the certification potential for the exchange of Bitcoins.
Xinhua is not satisfied with the current regulatory framework
Xinhua has published a statement asking the regulatory authorities in china adopt a policy of “zero tolerance” for all crimes related to the crypto-currencies. It is important to note that Xinhua is the official press agency of the chinese government, and its director serves on the central Committee of the chinese communist Party. Xinhua added that the officials must act with an ” iron fist “. In effect, the regulatory authorities chinese have already issued a complete ban and full of ICO. Thus, the startups china can no longer raise funds by using this specific model of fundraising and investors are no longer able to contribute to the ICO foreign.
Xinhua calls for a strengthening of regulations
However, Xinhua also points out that there are many chinese users of crypto-currencies that will try to circumvent the regulations imposed by using trading platforms that are based abroad, such as Japan, South Korea, and elsewhere in Europe and in the United States. Xinhua concludes, therefore, that there are still “empty regulatory” that deserve the attention of the government. “There are still gaps in the regulations that governed the crypto-currencies, which must require governments to pay sufficient attention to the regulation as soon as possible “, adds the newspaper. Xinhua continues by calling for targeted regulatory measures and stringent, including the obtaining of a license, the presence of a strict policy, AML/KYC and the existence of transaction limits.