Regardless our views about ICOs in general, the Chinese government has declared war against all Chinese ICOs.
Latest press releases in various Chinese financial media has not only highlighted the dangers of investing in ICOs but the clear message is that ICOs are now illegal and unregulated fund raising activities banned by the authorities.
According to the National Internet Financial Security Technical Committee, the "2017 first half of the domestic ICO development report", China has completed a total of 65 ICO projects, the cumulative financing scale of 2.616 billion yuan, the cumulative participation of 105,000. according to the new financial reporter to understand, ICO in the secondary market turnover has more than 100 billion yuan.
According to regulators who have studied the ICOs and their fund raising schemes, they found that over 90% are either financial scams or have no legitimate reason to raise funds through such unregulated schemes. It has also specifically stated that ICOs that have raised funds must refund to their original investors the initial amount raised.
September 2, the Internet financial risk special rectification work leading group office to the provincial and municipal financial office (bureau), issued a "on the tokens issue financing to carry out clean-up rectification work notice" remediation letter [2017] 99 99), which states that ICO (Initial Coin Offering) is essentially an unlawful illegal open financing, allegedly illegally raising funds, illegally issuing securities, illegally offering tokens to raise, and involving financial fraud, pyramid schemes And other criminal activities, seriously disrupted the economic and financial order.
Source: http://m.finance.caixin.com/m/2017-09-04/101140069.html
Almost all of the listed or planned ICOs are targeted at Chinese citizens in this ICO frenzy and it is not surprising as it was going to hapoen sooner or later.
ICOs listed in the current quarter are expected to announce refunds to those who have invested at the price determined on the day of the ICO.
Stay tuned for more developments.