A study of the Xinhua News Agency has revealed that it is possible to circumvent China’s ban on Initial Coin Offerings (ICO), so a on 26. September published article.
The investigation has shown that investors can deal in spite of the efforts of the government, against ICOs to proceed, the law with the help of foreign letter-box companies.
According to Xinhua crypto exchanges have registered after its forced closure in the domestic and abroad, and the Chinese Use offer from there continue on the home market of their services.
especially the island state of Malta have attracted numerous companies as a new location. Many in Malta based crypto-exchanges to offer their platform and services in the Chinese language.
Also, the use of Chat-groups on Telegram for the co-ordination with Chinese private users was mentioned by Xinhua. Citing an insider source, the news Agency of:
„It seems that the whole of the processing platform is in breach of the relevant guidelines, but Over-the-Counter-transaction, have in fact created a loophole for ICO-Token transactions writes.“
while The authorities have tried to block the Internet access to ICO-projects in China, such as Xinhua explains, this is mostly due to the use of a Virtual Personal Network (VPN). Certain media companies in China would take on projects in addition, an active role in promoting ICO.
The first complete prohibition of ICOs in China, had been imposed a year ago in September 2017. At the beginning of this month, the People’s Bank of China published a new document on their official Website, according to the you continue to ICO – and cryptocurrency-related will protect trade „risks“.