Beijing financial authority warns against ‘illegal’ STO fundraising

Beijing has issued a warning about illegal activities associated with Security Token Offerings (STO), a move that underscores the Chinese government’s resolve in controlling cryptocurrency fundraising in the country.

At 2018 the Global Wealth Management Forum held on December 1, Huo Xuewen, head of the Beijing Financial Supervision Authority, said the government would crack down on STOs until it had approved the process, saying that they would be seen as illegal financial activities in the interim.

“I will issue a risk warning to those who promote and issue STO tokens in Beijing. My advice is to only engage in such offerings when the government has legalized them,” he said.

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