Is it illegal for Ethereum to issue tokens

1.

It is illegal to issue virtual currency privately

According to Article 29 of the regulations of the people's Republic of China on the administration of RMB, no unit or indivial is allowed to print or sell token tickets to replace RMB in circulation on the market

In addition, the "emergency notice of the State Council Office for rectifying unhealthy tendencies in the instry, the State Economic and Trade Commission and the people's Bank of China on prohibiting the issuance and use of various token certificates (cards)" also strictly prohibited similar issues

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virtual currency refers to non real currency. Well known virtual currencies, such as online currency of Internet company, q-coin of Tencent company, q-point and voucher of Shanda company, micro currency launched by Sina (used for micro games, Sina reading, etc.), chivalrous Yuanbao (used for chivalrous road game), silver grain (used for bixue Qingtian game), and popular digital currencies in 2013 include bitcoin, Laite coin, infinite coin, quark coin, zeta coin, etc Barbecue coins, pennies (Internet), invisible gold bars, red coins, prime coins. At present, hundreds of digital currencies are issued all over the world. Popular in the circle & quot; The legend of "bitcoin, Wright silver, infinite copper, pennies aluminum"

market formation

the Internet has led to the emergence of a new market, which is a virtual market based on cyberspace. The Internet provides a lot of communication places for consumers, and also provides business market for enterprises. Enterprises must change from proct centered to service centered to customer centered. With the development of computer artificial intelligence technology and database technology, enterprises can conveniently collect customers' information, understand customers' needs in time, change business strategies and grasp economic arteries in real time

With the rapid development of computer and network communication technology, the application of Internet technology has graally penetrated into various fields of human activities, and the unlimited business opportunities that it contains make businesses turn their eyes to e-commerce. E-commerce is penetrating into all aspects of social and economic life at a speed that people can hardly imagine

the traditional finance is also closely watching this irresistible trend of global economic integration and networking. As a result, value-added services take art as the selling point and can be regarded as commodities; The sword in the game is not a brand-new financial services business philosophy - e-finance came into being

from the historical development process, to understand e-finance, we must start from the electronic finance and e-commerce. The so-called e-financialization means that financial enterprises adopt modern communication, computer, network and other information technology means in addition to Internet technology to improve the work efficiency of traditional financial service business, rece operating costs, realize the automation of financial business processing, informatization of financial enterprise management and scientific decision-making, and provide customers with faster and more convenient services, And then enhance the financial enterprise is the behavior of market competitive advantage

e-finance is a transcendence of financial electronization. Different from the electronic finance, the main technical basis of e-finance operation is the increasingly perfect Internet technology. Due to the characteristics of global connectivity, openness, quickness and low marginal cost of Internet technology, e-finance strengthens the restructuring and innovation of financial services business based on Internet technology, so that customers are free from the restrictions of business hours and places, and enjoy all kinds of high-quality and low-cost services provided by financial enterprises anytime and anywhere

with the development of Internet, the form of money is becoming more virtual, and there is an electronic money that only exists in the form of electronic signal

reference source: Network: virtual currency

2.

The monetary gold and silver Bureau of the people's Bank of China issued the "risk warning on issuing or promoting digital currency in the name of the people's Bank of China". In the risk warning, the central bank stressed: our bank has not issued legal digital currency, nor authorized any institutions and enterprises to issue legal digital currency, and there is no promotion team. At present, the so-called "digital currency" in the market is not legal digital currency. The central bank stressed that the so-called "digital currency" launched by some institutions and enterprises and the so-called promotion of the central bank's issuance of digital currency may involve pyramid selling and fraud

if you are interested in more anti fraud information, you can pay attention to my "Laohan anti pyramid scheme", which will continue to update the inside routines and reveal the secrets of pyramid scheme. I hope you can be more vigilant and stay away from the pyramid scheme

3. At present, there is no objection to indivials holding cryptocurrency in China, but it is not allowed to trade or exchange in kind, that is to say, it is allowed to hold but not to circulate

4.

It does not belong to MLM

Ethereum is an open source public blockchain platform with smart contract function, which provides decentralized virtual machine (Ethereum virtual machine) to process point-to-point contract through its special cryptocurrency Ethereum

the concept of Ethereum was first proposed by vitalik buterin, a programmer, from 2013 to 2014, inspired by bitcoin, to the effect of "next generation cryptocurrency and decentralized application platform", and began to develop through crowdfunding in 2014. The market value of Ethernet currency is second only to bitcoin, and it is the second largest encrypted digital currency in the world

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bitcoin has created the first decentralized cryptocurrency, and has fully tested the feasibility and security of blockchain technology in more than five years. In fact, bitcoin's blockchain is a set of distributed database. If a symbol bitcoin is added into it and a set of protocol is specified, the symbol can be transferred safely on the database without trusting a third party. The combination of these features perfectly constructs a currency transmission system bitcoin network

however, bitcoin is not perfect, and the scalability of the protocol is a deficiency. For example, there is only one symbol in the bitcoin Network - bitcoin, and users can't customize other symbols. These symbols can represent the company's stocks or debt certificates, which will lose some functions

In addition, a stack based scripting language is used in bitcoin protocol. Although this language has some flexibility to realize functions such as multi signature, it is not enough to build more advanced applications, such as decentralized exchanges. Ethereum is designed to solve the problem of insufficient scalability of bitcoin

5. You can identify whether this enterprise is suspected of pyramid selling according to the three standards of the "Regulations on the prohibition of pyramid selling". If their actions comply with the regulations, they can go to the official website of the Ministry of Commerce to check whether the enterprise has been approved by the Ministry of Commerce and obtained a direct marketing license. If not, then it can be determined that this is a pyramid scheme, which is illegal.

6. There must be fraud in digital currency investment. It's better to find formal institutions to invest, and don't trust high returns.

7.

Token refers to virtual digital assets, which is the token that we often hear about recently. It is a string of digital codes generated by the underlying technology of blockchain. It is unique, consensus and tamper proof. The more famous tokens include bitcoin, ETH Ethereum, usdt TEDA currency, etc. legal currency is the abbreviation of "legal currency" or "legal compensation currency", which is the currency given by the state in the form of law for compulsory circulation. For example, US dollar, RMB and euro all belong to legal currency. INMARSAT is a digital asset generated based on the underlying technology of blockchain, which belongs to token. INMARSAT is issued by INMC INMARSAT International Club. INMARSAT is registered in the United Kingdom, headquartered in Russia, and has a formal and legal international business license. It is a blockchain application scenario platform with entity operation

the QR code of Yingmai wallet app is attached, which can be downloaded and experienced

8.

It's illegal

LCC belongs to virtual currency. Virtual currency trading is banned in China

the people's Bank of China and other seven ministries and commissions jointly issued the announcement on preventing the financing risk of token issuance, which clearly regulates the relevant behaviors. Some of the announcements are as follows:

the token or "virtual currency" used in token issuance financing is not issued by the monetary authority, does not have the monetary attributes of legal compensation and mandatory, does not have the same legal status as currency, and cannot and should not be used as currency in the market

at the same time, it also points out that illegal selling and circulation, and raising so-called "virtual currency" from investors, such as bitcoin and ether coin, is essentially an unauthorized illegal public financing behavior, which is suspected of illegal selling token bills, issuing securities, illegal fund-raising, financial fraud, pyramid selling and other illegal criminal activities

for the token financing trading platform with illegal problems, the financial management department will request the competent department of telecommunications to close its website platform and mobile app according to law, request the network information department to remove the mobile app from the app store, and request the instrial and commercial administration department to revoke its business license according to law

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be alert to the risk of virtual currency speculation

in the "tips on preventing the risks of bitcoin and other so-called" virtual currencies ", the China Internet Finance Association also said that bitcoin and other so-called" virtual currencies "lack a clear value basis, and are increasingly becoming the focus of money laundering, drug trafficking, smuggling Illegal fund-raising and other illegal and criminal activities

investors participate in speculation through the "virtual currency" trading platform, and face the risk of price fluctuation, security risk, platform technology risk, etc., which need to be borne by investors themselves

reference materials: announcement on preventing the financing risk of token Issuance - China Securities Regulatory Commission