New Clampdown PBoC Looks to Tackle Airdrop Tokens Market

The PBoC (People's Bank of China), the central bank strives to limit the Free Charge of cryptocurrency chips.

2018 Financial Stability Report, released on Friday, PBoC said the initial number of ICO bills, including the airports, continues to grow in number, despite earlier attempts to crack sales of tokens.

For example, some cryptocurrency companies outsource their projects overseas and use investment agents on behalf of Chinese investors.

Other projects do not issue public fundraising chips directly but give free chips while reserving part of the total bid. These companies then try to use speculations on the secondary market to increase the price of these chips to profit, the bank added.

Providing statistics, the bank said it had 65 OICs completed in China until July 18, 2017, just five before 2017. Additionally, more than 105,000 people participated in the sale, providing total funding of approximately 2.6 billion yuan (377, $ 3 million), which represents more than 20% of the total amount collected in the same period.

The central bank said it has to remain very cautious and coordinate with other agencies to oversee the cryptocurrency sector to educate and protect investors.

PBoC takes steps to block the symbolic fundraising since September 2017, when it has totally banned the ICO. In June this year, PBoC deputy governor published a firm report on the "covert" ICO and reiterated that trade in cryptographic tools was illegal in the country.

Then in August, the NIFA (China Internet Finance Association), a self-regulating organization founded by PBoC, added the "symbolic sales" category to its platform to allow the public to report illegal transactions.


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