More than 40 Initial Coin Offering (ICO) platforms halted their operations due to the recent sale ban by the People’s Bank of China (PBOC), Bitcoin.com reports.
Many ICO platforms face challenges in refunding investors.
Beijing Operation Management Department of the People’s Bank of China has issued a notice to financial institutions prohibiting the provision of financial services to ICOs.
The notice states that “financial institutions and non-bank payment agencies shall not provide service or product like account opening, registration, trading, clearing and settlement for token financing and virtual currency”.
On Monday, September 4, China’s central bank the People’s Bank of China (PBOC) proclaimed initial coin offerings (ICOs) illegal and demanded all related fundraising activity to be halted immediately.
The cryptocurrency market lost close to USD 36 billion in value since that decision of the Chinese authorities and stands at approximately USD 142 billion.