China’s Ministry of Industry & Info Tech Release Blockchain Project Ratings
The Chinese Ministry of Industry and Information Technology will be producing ratings for different blockchain projects. The main purpose behind these ratings is to help the government to regulate the technology that supports cryptocurrencies, including Bitcoin.
At the moment, there will be 28 virtual currencies and tokens which will be rated. We can mention Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Litecoin (LTC), Bitcoin Cash (BCH), NEO, and many others. The information has been released by the China Center for Information Industry Development, also known as CIID – which is responsible for advising on policy making in technology.
The post did not specify how the index will be developed, neither the criteria that will be used, but the ranking will be published shortly and exclusively on the CIID official site.
This new announcement of the cryptocurrency and blockchain index, follows the establishment of a national standard for blockchain by China, according to the South China Morning Post. The guidelines will be ready before 2020.
It is important to mention that China has decided to ban cryptocurrency trading activities and Initial Coin Offerings (ICOs) back in 2017. As the People’s Bank of China reported, more than 90% of the ICOs that had been launched in China were fraudulent.
During the last year, and with the craziness for Bitcoin and other virtual currencies, several ICOs were scams and some of them stole the funds of the investors. Of course, blockchain is not the same, and the government has shown its support to distributed ledger technology. These new measures are trying to improve the regulatory framework around cryptocurrencies and blockchain-related activities.