How will the ban of all ICO in China affect the market of cryptocurrency?
In the long-term or near-term?
Long term.
As for us as LAToken investors.
Valentin Preobrazhenskiy, CEO at LAToken, explains that his company has responded to the development by putting all of its activities related to China on hold:
We were about to participate in Blockchain conferences and meetups there, but cancelled our roadshow in mainland China. We also dont accept contributions from Chinese citizens and residents at the moment. However, the Chinese ban doesnt affect our activities in other countries, and we still proceed with our token sale as scheduled.
Preobrazhenskiy acknowledges the negative sentiment created by the development in China as is evident in the market behaviour. Bitcoin price quickly bounced, while Ethereum, the most popular currency for ICOs, is still in a holding pattern as markets worry that other operations with cryptocurrencies may be banned by Chinese regulators as well.
Another anxiety trigger comes with the fears, that other regulators might follow Chinese ruling and ban token sales instead of regulating.
Preobrazhenskiy notes that along with cancelling all the activities related to China, his company has introduced a representation form, that stops Chinese investors from investing in the aftermath of the ban.(C)
But this is more in the short term for me.