I have translated the article ran on the rinse website, it has some interesting news..
Original;
http://www.jinse.com/news/bitcoin/74934.html
Article: (Translated with Google);
"Virtual currency once again into the cold winter. From 2010, a developer with 10,000 million dollars to buy two pizza, to more than 10,000 special currency once the value of up to 20 million US dollars, and now the world's central banks have a tacit understanding of the "joint" up to limit the application of Bitcoin , Virtual currency with the Internet to the centralization of the progress of the stagnation.
In the domestic market, including Bitcoin, including the virtual currency market regulation is in the past two weeks ushered in a storm. In early September, the central bank, including the China Banking Regulatory Commission, the Securities Regulatory Commission, the CIRC, including a number of ministries, announced that ICO is "illegal open financing", suspected illegal sale of tokens, illegal securities and illegal fund-raising, financial fraud, pyramid schemes and other criminal activity."
"Continue to be exposed to the problem and more and more inclined to find the mystery of the Pantian scissors characteristics, making this a virtual currency carnival born on the verge of death.
The so-called ICO, refers to the first tokens issue, similar to the securities market in the IPO (initial public offering), refers to the sovereign sector authorized by the issue of similar bit currency such data for the subscribers to take real currency subscription. In the country, ICO from the audience in the small minority speculation to the street know the smell, a total of only a year or so of time. Opponents believe that the virtual currency of the carnival is nothing but the field of abnormal and unsustainable "Keynes beauty contest", but a speculation on the public speculation, in essence, is still a harvest leek process. This view is also increasingly evidence of data, according to the media quoted the central bankers saying that 90% of the ICO project suspected of illegal fund-raising and subjective intentional fraud, really raise funds for project investment ICO less than 1%. This proportion of judgments explain the reasons for the pain of the regulators."
"There are also operators argue that this is only the sale of a digital goods, such as selling video game equipment, or similar Q coins. More idealistic supporters inherited Hayek's spirit of "non-nationalization of money": why is it free to compete freely in the monetary field since it is free to compete freely in the general commodity and service markets? It is actually a misunderstanding that the currency must keep the official authority of the issue because the bad money drives out the "Gresham rule".
Now we can not on the "Gresham rule" whether it has been misunderstood judgment. But in the course of practice, and Hayek's ideal expectations are different, when the Internet to the development of money into a central stage of the center, into the field of foreign ICO, but gradually because of the lack of boundaries and constraints , Alienation into the basis of no monetary value of the "castle in the air"".
"For example, even without any white paper and written introduction, it was in 4 hours to successfully raise 500 million yuan, it was introduced, including the release of "Ma Le Ge coins", including the wonderful tokens; to the late even as long as there are celebrity sites, Some people compete for investment: According to media reports, investors involved in investing in these projects, from technical men to housewives and even selling hawkers are distributed."
"In just a few months, this one through the Internet financial innovation hat to reach the extreme - "2017 first half of the domestic ICO development report" shows that the first half of the ICO in domestic financing has reached 2.666 billion yuan. As of July 18, 2017, the monitoring found on the platform and completed the ICO project 65. Moreover, from April before the ICO on-line 8 to 9 on-line 9, in June on the line 27, clearly showing the ICO project on-line frequency was exponentially accelerated trend.
"Seemingly with the "black science and technology" wealth carnival, but more and more similar to the previous P2P running tide, illegal fund-raising "drumming" game. In the bit as a benchmark, then simply claim that the annualized income of up to 400% or more of the great temptation, some of the domestic almost irrational speculative funds finally took over the "last stick"".
"It is a good academic impression of the Austrian school, including Hayek, for the currency circulation model, through the decentralization of currency issuance to defend inflation. But for the moment, even the Internet has brought more than imagined space for the gold and precious metal currencies that can only be referred to in the Hayek era, but the current chaos still proves that for the next long time, Is the existence of utopian.
Of course, we recall the history of monetary and financial, from silver to banknotes to today's cashless payments, monetary change is one of the milestones of human civilization and progress. At present in the regulatory norms of the orderly development of the block chain, in fact, is the monetary change in the useful progress of exploration. But also need to see that in the process of exploration, those who spread the scam and speculation, the total will inevitably become the way forward on the history of the Three Gorges, how to balance financial innovation and illegal fund-raising, which is for regulatory needs Clearly distinguish and grasp the scope of regulatory radiation."
So for NEO, IF the regulation goes ahead, and presuming they are water tight as they claim, they could in for a great week ahead.
Source: Economic Observer Editor: Gao Feng