- The ranks are determined on the basis of tech, applicability and creativity of the crypto assets.
- China’s central bank circulated a statement highlighting the government’s opinion on crypto.
China’s Center for Information and Industry Development (CCID) has recently released new crypto rankings. The ranks are determined on the basis of tech, applicability and creativity of the crypto assets. The index places a premium on smart contract platforms. EOS, Ethereum and Tron have reportedly secured first, second and third spots respectively.
However, major cryptocurrencies are ranked down the list. Bitcoin, Stellar and XRP are ranked 9th, 10th and 18th, respectively. Litecoin is on the 27th while Bitcoin Cash secured the 32nd spot. Binance Coin or Bitcoin SV, which are the 8th and 9th largest coins by market cap, are not even included in the list.
Although the blockchain technology got immense support from President Xi Jinping, China is still uncertain about cryptocurrency. The country is likely backing enterprises for blockchain. China is also reinforcing a strict ban on domestic cryptocurrency exchanges, which initially began in September of 2017.
At the end of November, China’s central bank circulated a statement highlighting the opinion of the government on crypto. Primitive Ventures partner Dovey Wan highlighted a few key points from the release.
1. ICO, IFO, IEO, STO are all unauthorized illegal public offering and securities issuance, and potentially illegal fund-raising, financial fraud, pyramid schemes and other illegal crimes.
2. Shanghai law enforcement agency will conduct ‘Special rectification of cryptocurrency-related trading platform, which can be registered overseas, shall be immediately rectified and retired’.
3. They will further regulate trading platform whose servers are outside mainland but providing virtual currency trading services to domestic residents, and will continue to strengthen the clean-up [of] the fiat payment and settlement channels and gateways.
4. Investors should be careful not to mix blockchain technology with cryptocurrency, and there are multiple risks in cryptocurrency financing, issuance and trading (again, Blockchain not crypto).
China will release crypto rankings every two months. The next rankings will be dropped in February.