China has forbidden to raise money by the issue of cryptocurrencies

The people’s Bank of China has invalidated ICO – initial placement of coins, a form of attracting investment in the form of issue and sale to the investors of the new cryptocurrency. The Chinese authorities demanded the immediate cessation of all such operations.

The study, conducted by experts from the local Central Bank showed that “the conduct ICO has undermined financial markets and should be prohibited”.

The Chinese Central Bank in the future intends to “severely punished” for holding ICO and fined for violations in the earlier operations. Organizations and individuals informed the ICO carried out, ordered to return to investors all funds raised. The Central Bank also banned banks to offer services for the ICO, noting that the digital tokens can not be used as market currency.


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The total volume of ICO, conducted worldwide over the past year amounted to $ 1.6 billion. According to 18 July this year, China had 43 ICO platform. In total, China was conducted 65 of the ICO, which attracted 398 million dollars.
In this regard, exchange rate for bitcoin in trading on Monday, fell 5% to 4397,46 dollars, according to data from Coindesk. The second most popular cryptocurrency, ether (Ethereum) – fell by 15% to 300,19 dollars.