China has come out strongly against Initial Coin Offerings and while there are many theories around why, I have to ask, "Is it a bad thing?" I mean let's face it, there are many 'pump and dump' alt coins out there. Those that are made solely to be sold through an ICO, then for the developers to take the money raised and run.
If cryptocurrencies are to take their rightful place in the world they need to be trusted. Not only by the people who use them but by governments too. One of the problems with ICOs is that just like stocks and bonds, they're a gamble. The phrase "Caveat Emptor" is perhaps more relevant to ICOs than almost anything else.
The alt coin space is unregulated and, is a very good way (at this moment in time) to raise money and then just disappear. China is worried about the risk to its people and worried it will upset the social order. Of course as a disruptive technology alt coins and blockchain are designed to upset the social order.
Full story at http://bit.ly/2gJH4I4
Source: Steemit
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