The blockchain and cryptocurrency market are constantly facing regulatory backlash from around the world. The SEC in the US has just launched a special fintech office to better understand, and eventually, help regulate the ever growing market.
Now, China has stepped up and has proposed certain blockchain-related regulations that may help the rest of the world.
The Cyberspace Administration of China, or simple, CAC, has published a draft policy on how to regulate blockchain-related products within the country. Published on October 19th, 2018, the draft policy is open for discussion and suggestions up until November 2nd, 2018, when the document is going to be finalized and put into motion.
The regulation is called “The Regulation for Managing Blockchain Information Services” and, if implemented, will be a major stepping stone for the large Chinese blockchain market. While China has not been too friendly when it comes to alt coins, the country boasts one of the highest number of blockchain-related patents in the world. This undoubtedly speaks for the country’s interest towards the technology.
BTC Manager reported that one of the primary rules of the draft policy suggests that all users of blockchain services will have to disclose their real names when using the technology or access it in any way. This certainly takes off the glamor of blockchain as the idea of complete anonymity.
While there is no clarity for now on how the CAC is going to target blockchain companies and their users, the fact is that blockchain is a very complicated technology and even more complicated to be governed by a central authority, in this case – the Chinese government.