China Toughened Rules For Blockchain Service Providers

The Chinese government is quite strict to the services that provide information which does not correspond to the rules and regulations of the country. Usually, such accounts or services are banned or some limitations are established.

This time China, namely the Cyberspace Administration of China (CAC), has forbidden blockchain services providers to distribute illegal content by publishing a set of blockchain regulations, named “Blockchain Information Service Management Regulations.”

According to these rules, blockchain providers do not have the right to “produce, duplicate, publish, [or] disseminate” information that is prohibited in China. They also need to register their companies in special agencies. Upon the registration, providers are to indicate their name, server addresses and service types. The services, which do not comply with the rules, will be fined from $737 to $4,420 depending on the severity of the offense.

Previously, the blockchain network was used by residents of China to evade censorship rules. For instance, the supporters of #MeToo movement have posted their stories on the Ethereum blockchain, so that they will not be deleted.

Another example is posted by Twitter user (nickname: @readkrystalhu):

In this regards, the Chinese authorities have made such a decision. No one knows whether it is for good or for bad. All we can be sure of is that censorship in China is extremely severe.

We remind you

Blockchain in China Is a Bubble? About 50% of Chinese Companies Failed To Present Operations Using DLT

Subscribe to The Coin Shark news in Facebook: https://www.facebook.com/coinshark/