The only upside I can see is that maybe if there are no native Chinese ICOs, Chinese investors interested in crypto have no alternative than to put their capital in international projects (assuming they don't shut down the Chinese exchanges as well as local ICOs). Overall though there's no way to spin this as anything other than a huge blow to the industry.
I don't see it as that. China has banned ICOs from being created but nowhere do i see China banning investors from investing in other ICOs. This seems like good news to me. Anything I'm missing?
The government there really does have power over the market sentiment. It's not clear yet if Chinese investors are outright baned from putting money on ICOs but the recent ban surely drives big money out of the economy and reduces interest.