Babbitt column | This law will affect blockchain entrepreneurship?

Don't tell me, you don't know that the technology matrix of the blockchain is cryptography. From the root, distributed accounting is trustworthy because of the nature of its password.

With the emergence of China's digital legal currency, the concept of blockchain technology is hot, we found that a law is quietly waiting for it. On January 1, 2020, this law will officially take the stage of history. 》.

Today, we are working with a large number of blockchain practitioners and enthusiasts to learn about legal content and make progress together.

Article context:

1. Can the Cryptography method manage blockchain technology?

2. Future prospects for the commercial cryptographic industry;

3. What are the legal responsibilities?

The scope of application of the Cryptography

On October 26, 2019, the Standing Committee of the National People's Congress issued the "Password Law of the People's Republic of China" (referred to as the "Cryptography Law"), which will come into effect on January 1, 2020.

Let us look at the so-called "password" refers to technologies, products, and services that encrypt and protect information, etc., using a specific transformation method.

That is to say, the blockchain technology is used to encrypt or secure the information collected (please supplement the hot and cold wallet). It is a "password" in the legal sense and is protected and regulated by the Cryptography.

My sister believes that the application of blockchain technology can basically be included in the scope of the new law.

In a sense, the Cryptography is the first law to regulate China's blockchain technology and its application . This is a historical advancement and worthy of recognition.

The National Password Management Department is responsible for managing password work throughout the country. The password management departments at the county level and above are responsible for managing the password work in their administrative areas.

The state implements classified management of passwords: core password, ordinary password, and commercial password. Please note that if you use blockchain technology to serve the "government system", you may be involved in issues such as state secrets . Do not think that you can show off a government project, but in fact, the responsibility is greater and the duty of confidentiality is stronger. (Remind that when the government blockchain project has been bidding for other civil projects, the technical details and core contents cannot be disclosed to any third party, otherwise the legal consequences will be serious)

The future of the commercial cryptography industry

First confirm one point: commercial passwords are used to protect information that is not a state secret . Citizens, legal persons and other organizations can use commercial passwords to protect networks and information security in accordance with the law.

At the same time, we found in the "Cryptography Law" that the state's attitude is to "encourage and support" the research and application of cryptographic science and technology (friends who are doing business in the public chain), and protect intellectual property rights in the field of cryptography (mainly copyrights and patents). ), promoting the advancement and innovation of cryptographic science and technology.

The state will adopt a variety of methods to carry out "password security education" , incorporate password security education into the "national education system" and "civil service education and training system", and enhance the password security awareness of citizens, legal persons and other organizations. Training missions come to the door to popularize cryptography and related technical training for students and civil servants.

The state encourages research and development, academic exchanges, transformation of results and promotion and application of commercial cryptography, and improves the same open, competitive and orderly commercial cryptographic market system.

In combination with the recent fiery "data rights", will the "cryptographic rights" be created in the future, and my sister will wait and see. However, it can be confirmed that there will be self-discipline organizations , and the main work of the industry self-regulatory organizations is to “designate password standards.” It is recommended that major blockchain technology service providers actively participate in national and local associations and contribute. Strength, the standard is more in line with the reality of the development of China's crypto industry.

One reminder: import licenses for commercial passwords involving national security, social public interest, and encryption protection functions, and export control for commercial passwords involving national security, social public interest, or China's international obligations. (The password is not an extrajudicial place, and the compliance control must be observed)

Legal responsibility

Of course, our ideal legal disciplinary framework is: first of all the administrative law methods such as “warning”, “administrative sanctions”, “fines” and “revocation of relevant qualifications” as stipulated in the Code Law, and then by the Cyber ​​Security Law, The Criminal Law has come together to create a legal network for regulation.

From the level of the "Network Security Law", stealing information encrypted by others, illegally invading other people's password protection system, or using passwords to engage in illegal activities, and pursuing their legal responsibilities by other laws and administrative regulations of the Cyber ​​Security Law.

From the level of China's "Criminal Law", the above acts will also be evaluated as suspected crimes, and will be dealt with by Article 285 of the crime of illegally invading computer information systems, illegally obtaining computer information system data, and illegally controlling computer information systems.

Based on the observation and past experience of the sister-in-law, the blockchain technology field cannot avoid a series of legal disputes and litigations, focusing on the natural impulse of the blockchain technology to “issuing the currency” . In addition, it does not rule out all kinds of international hackers. I saw the "hot wallet" of the Chinese people.

Therefore, in the face of the second wave of future blockchain technology entrepreneurship, we recommend adequate technical preparation and legal common sense preparation, retain relevant evidence, reduce unnecessary lawsuits, and enable China's blockchain technology innovation. In the international "card position" success (although we are a bit slow).