Blockchain Weekly Report | 12 exchanges within 60 days are affected by strong supervision of virtual currencies; Shenzhen Stock Exchange 50 Index debuts

PA Weekly Issue 88.23-12.29

Wen | Editing by Zhou Wenyi | Bi Tongtong Source | PANews

Overview: Beijing's multi-department issued risk warnings, alert to the risks of investment in the virtual currency market; three exchanges have been shut down, and at least 12 of them have been closed or filed for investigation in two months; the Shenzhen Stock Exchange has compiled the Shenzhen Stock Exchange 50 Index, which closed up 1.15 on the first day. %; Youtube deletes multiple industry-related V-video cryptocurrency-related content and is classified as "harmful information."

• Jiefang Daily commented that the development of the blockchain industry should avoid "holding high and playing high," and ecological construction can start from four aspects
• Poetry and the distance are there. The first problem facing the blockchain industry is where does the bread come from?
• South Korean tax bureau withholds 80.3 billion won in taxes from Bithumb exchange

According to PANews statistics, there were 8 projects in the blockchain field announced last week with a total amount of over 11.6 million U.S. dollars (excluding projects that have not disclosed the specific amount of investment and financing), involving financial services, exchanges, public chains, infrastructure, Data privacy, media, etc.

o1 Beijing's multi-sectoral release of risk alert: vigilance on investment risks in the virtual currency market

On December 27, the Beijing Local Financial Regulatory Bureau, the Business Management Department of the Central Bank, the Beijing Banking and Insurance Regulatory Bureau, and the Beijing Securities Regulatory Bureau jointly issued the "Risk Tips on Further Preventing" Virtual Currency "Trading Activities" (hereinafter referred to as the "Risk Tips") .

Risk reminders indicate that recently, with the promotion and promotion of blockchain technology, virtual currency trading activities have shown signs of resurgence in China. Some virtual currency trading platforms provide virtual currency trading services to domestic residents. Zero-interest loans and dual currencies are introduced through digital currency mortgages. Wealth management and other projects seriously violated the "Announcement on Preventing Token Issuance and Financing Risks" issued by the seven ministries and commissions of the People's Bank of China, suspected of engaging in illegal financial activities and disrupting the economic and financial order. In addition, various financial management departments, network telecommunications management departments, and public security departments within the jurisdiction continue to maintain high pressure on virtual currency transactions, ICOs and disguised ICOs, and comprehensively use on-site interviews, administrative investigations, website closures, and criminal case filing to combat them.

Here, we seriously warn institutions and personnel in Beijing that carry out related activities shall not publicize and promote relevant virtual currency projects or platforms, do not conduct virtual currency business sales or transactions, do not engage in virtual currency transactions or disguised transactions with investors, and shall not engage in or Acting on domestic and overseas virtual currency issuance and trading activities, financial institutions and non-bank payment institutions within its jurisdiction shall not provide services for any virtual currency transaction. At the same time, investors are reminded to maintain rationality, strengthen awareness of risk prevention and identification capabilities, beware of being deceived, and report related violations of laws and regulations in a timely manner.

Recently, the police in Beijing, Inner Mongolia, Shanxi and other places have successively cracked multiple virtual currency fraud cases, and the virtual currency hype has shown signs of rising again. On November 24, Beijing police cracked down on the fraud of the illegal digital currency exchange BISS and arrested dozens of criminal suspects. On December 23, the official Weibo “Ping An Baotou” of Baotou Public Security Bureau of Inner Mongolia Autonomous Region issued a “worken wallet” risk warning. On December 25, the official Weibo “Ping An Taiyuan” of the Public Security Bureau of Taiyuan City, Shanxi Province announced that it had successfully cracked the first blockchain virtual currency network fraud case in Shanxi Province, arrested all 72 people involved in the network fraud group, and destroyed the dens. Four victims, more than 300 victims, the amount involved in the case is more than 30 million yuan.

In addition, according to the China Times, since 2019, a total of 6 newly discovered domestic virtual currency trading platforms have been closed nationwide, and 203 overseas virtual currency trading platforms have been disposed of in 7 batches of technology; through two large non-bank payment institutions, Nearly 10,000 payment accounts were closed; on WeChat platforms, close to 300 small programs and public accounts were closed.

o2 Ganzi, Sichuan Province convened a meeting with 10 companies including Bitmain to discuss the cleanup of the Bitcoin mine

On December 24, the Ganzi Tibetan Autonomous Prefecture issued a notice on "Our State Actively Doing a Good Job in Meeting Winter Peak Power". The notice showed that measures to limit electricity were implemented. The "Ganzi Prefecture Work Plan for Cleaning and Renovating Bitcoin Mines" was issued to regulate the direct power supply behavior of electric power companies, and urged power generation companies to give priority to ensuring unified adjustment indicators and social power supply during dry periods.

In addition, the notice from the Sichuan Ganzi Prefecture conference showed that the state has held a seminar on the clearing of bitcoin mines in the whole state. In addition to the leaders of various government departments and the heads of local hydropower companies, the participants also included the heads of 10 companies, including Fujian Zhanhua Intelligent Technology Co., Ltd., a wholly-owned subsidiary of Bitmain. According to Wu, the blockchain reported that the official affirmed the use of surplus electricity by the bitcoin mine at the meeting, as well as the cooperation between power generation and power consumption companies, and called on mining companies to actively participate in the "consumption demonstration area" and jointly Digest excess electricity. However, the conference also emphasized that mining flags cannot be used to violate regulations such as virtual currency ICOs and financing, and enterprises are required to abide by laws and regulations and maintain market order.

o3 The Bank of Korea will set up a special working group to study the central bank's digital currency

On December 27, the Bank of Korea said it would set up a special working group dedicated to the study of the central bank's digital currency (CBDC) to better understand crypto assets. In the "Monetary Policy 2020", the Bank of Korea stated that it will continue to play an active role of regulators based on innovative research on distributed ledger technology, crypto assets and CBDC to enhance the security of the settlement system. It also said it would recruit more CBDC experts.

But this does not mean that the Bank of Korea will launch digital currency soon, a central bank spokesperson clarified: "We are only planning to strengthen our efforts on CBDC research."

o4 European Central Bank to release distributed ledger project based on R3 Corda platform EUROchain

On December 26, according to the European official website document, the European Central Bank released a report example of the distributed ledger technology proof-of-concept project EUROchain. According to the research statement, the EUROchain project is a distributed ledger project based on the R3 Corda platform, which aims to develop a central bank digital currency (CBDC) payment system that protects user privacy and reduces transaction costs under anti-money laundering rules.

According to the report, the ECB system has established an anonymous proof-of-concept project in the CBDC. The report states: "This proof-of-concept project EUROchain will be led by the European Central Bank, with the support of Accenture and R3 companies to develop several new features using distributed ledger (DLT) technology."

As stated in the report, the EUROchain use case has designed an intermediary who can handle transactions for customers. The intermediary can access the central bank account and use the reserve balance held by the central bank to provide users with central bank digital currency. In addition, EUROchain is different from other stablecoins such as Libra. EUROchain focuses more on the innovative integration of enterprise blockchain in banking business.

It is reported that on December 12, the European Central Bank President Lagarde said that the European Central Bank has set up a central bank digital currency committee, which will accelerate efforts to study the phenomenon of digital currencies, and is expected to reach a conclusion in mid-2020. In addition, Lagarde also disclosed that the European Central Bank will start its first policy evaluation since 2003 in January 2020 and is expected to be completed and concluded before the end of next year.

o5 Uzbekistan authorities amend crypto regulatory system, citizens can only sell and cannot buy tokens

On December 24, according to news.bitcoin, Uzbekistan's National Agency for Project Management adopted amendments to the regulatory system, which significantly restricted local individuals' choice of using cryptocurrencies. The revised system has banned residents from buying cryptocurrencies on digital asset exchanges licensed in the country. Cryptocurrency holders can only sell their tokens as long as they are not obtained through anonymous transactions.

o6 Paraguay launches domestic crypto industry survey and will introduce related regulations next year

On December 25, according to CoinDesk, Paraguay's anti-money laundering (AML) authority, the Anti-Money Laundering Secretariat (SEPRELAD), announced a nationwide crypto investigation. Every virtual asset service provider (VASPs) in Paraguay is required to open their books to the government for the first time, and this self-reported information should be submitted on December 20. SEPRELAD officials said the large-scale audit, driven by June's Financial Action Task Force (FATF) guidance on VASP, will help the Paraguayan government understand its domestic cryptocurrency industry and will pave the way for the country's first crypto-specific regulations Road, the regulations will be introduced in the first half of 2020.

o7 Russia's central bank tests stablecoin in regulatory sandbox

On December 26, according to Finance Magnates, Elvira Nabiullina, the governor of the Russian central bank, recently stated that the Russian central bank has started testing stablecoins in a regulatory sandbox specifically for those who wish to issue digital tokens supported by physical assets. Corporate design. "We study how they work in the 'sandbox', but we don't think they will be used as a means of payment and a currency substitute, and regulators continue to study the possibility of issuing their own digital currency," she said.

On the same day, according to news.Bitcoin, the Supreme Court of the Russian Federation acknowledged that tokens are the same assets as money and property. The Supreme Court is said to have clarified the term "digital rights", saying it could be used for bribery, just like regular fiat money, property and other assets. The court said that if a corruption case under investigation involves the transfer of digital power, the value of digital power must be assessed monetaryally by an expert hired. The court held that the time to transfer these assets to the e-wallet would be considered the exact time to pay the bribe. Russian media Forklog said that the above explanation of digital power comes from an amendment to a resolution recently launched by the Supreme Court. It provides the court with a judicial stand on corruption crimes such as bribery.

According to reports, digital power is currently the only legal description of cryptocurrencies in Russian law. Amendments to the Russian civil law that propose the term digital power are part of the Russian Digital Economy Regulation Draft, which also covers regulation of the cryptocurrency sector.

o8 French Financial Markets Authority issues new regulations on licenses for digital asset service providers

On December 27, according to Coindesk, the French Financial Markets Authority (AMF) recently issued new regulations on digital asset service provider (DASP) licensing, as well as guidelines for applying for non-mandatory licensing and notifying the AMF of internal network security operations.

To apply for a digital asset service provider, they must send a two-year business plan to the AMF, a list of digital assets that the company will provide services, a list of the regions where the company will operate, and an organization chart of the company. This license is optional for crypto companies operating in France.

The French government simply requires that for reasons of anti-money laundering and counter-terrorism financing, crypto custodians and any company engaged in fiat and cryptocurrency exchange services must register with the AMF. French regulators have also issued specific rules for cryptocurrency custodians, cryptocurrency exchanges, and cryptocurrency broker-dealers.

o9 Germany will require digital asset custodians to apply for permission

On December 27, according to Coindesk, according to the law that will take effect on January 1, 2020, Germany will require digital asset custodians to obtain a license, and every company that currently hosts cryptocurrencies and targets German customers must be in Announce to the German Financial Supervisory Authority (BaFin) before April 1 that it intends to obtain a permit and submit an application by November 1.

10 Supreme Prosecution Details There are ten types of criminal crimes involving blockchain: including theft, deception of digital currency and digital assets

At the "Blockchain Crime Prevention and Control" seminar on December 26, Zhao Zhigang, director of the Procuratorate Technology Information Research Center of the Supreme People's Procuratorate, said that blockchain, as an important information technology innovation, brings social progress as well as Here comes the unprecedented crime problem. Whether starting from judicial handling or legal supervision, we need to sort out these phenomena in order to find regularities and prevent them.

Zhao Zhigang took the topic "Application of Blockchain in Inspection Work and Ten Types of Blockchain-related Illegal Crimes and Prevention", detailing ten types of blockchain-related illegal crimes, including theft, deception of digital currency and digital Assets; illegally setting up exchanges and managing chaotic phenomena; issuing competitive coins and altcoins for the purpose of "cut leek"; extortion, illegal transactions and money laundering through digital currency channels; illegal mining-related crimes; "deposit card" Related illegal crimes; Pseudo-certificate origin projects; illegal crimes related to the fund pool; illegal crimes related to "smart contracts"; new concepts related to illegal crimes such as fork coins and alliance chain node elections.

In response to the aforementioned crimes, Zhao Zhigang proposed seven research directions for crime prevention. These seven points are to further improve the traditional prevention methods for traditional types of crimes; to prevent risks through sound management for financial types of crimes; to focus on technical crimes to try to solve technical problems by technical means; Regarding new types of crimes and new problems, innovative management methods are needed; and the general public's knowledge of blockchain should be increased.

o1 Three exchanges have been shut down in succession, at least 12 of them have been closed or filed for investigation in two months

On the morning of December 26, the company's investigation showed that Chengdu Taiyi Technology Co., Ltd., the main body of the CoinTiger exchange company, was about to be disbanded and was being cancelled. In addition, on November 26, Chengdu Taiyi Technology Co., Ltd. proposed to apply to the company registration authority for cancellation of registration due to its resolution to dissolve. Creditors were requested to declare their claims to the liquidation team within 45 days from the date of announcement. According to industrial and commercial information, on October 14 this year, Chengdu Taiyi Technology Co., Ltd., the main company of CoinTiger, applied for a simple cancellation, but the cancellation application failed.

On the same day, CoinTiger issued a statement saying: "Since the date of establishment, the registration place of the CoinTiger exchange is Singapore, and the domestic entities are only normal operations to guarantee the rights of some employees. At present, all operations of Singapore companies are normal. The cancellation of domestic entities is only Do not overread the normal operation in response to the regulatory policies in mainland China. "

This is the third exchange last week that said it was making business adjustments "in response to the domestic regulatory environment." Previously, Biger and Bithumb Global, two exchanges with operating teams in Shanghai, have successively taken measures to exit and dismiss the entity.

Biger Exchange announced on December 24 that in order to actively respond to the regulatory policy requirements, Biger will orderly withdraw from the system in an orderly manner, and the platform will stop digital currency trading and withdrawal services on December 27, 2019. It is reported that before the announcement, Biger has successively removed all trading pairs. On December 9, Biger issued an announcement for the first time that in order to actively respond to regulatory policy requirements, the deposit service will be stopped from that day. The platform will stop digital currency trading services on December 31, 2019, and will be on January 15, 2020. Close the withdrawal service.

In addition, PANews learned from Bithumb Global that it plans to cancel the main body of the operating company in China and terminate the labor relationship of domestic employees. All technology and operations will be transferred to Singapore and Hong Kong. Earlier, after the Shanghai Stock Exchange was checked on November 14, Bithumb Global gave employees a "long vacation". Bithumb Global said that the global business has not been affected, but the official website has blocked IP in China.

Recently, the high pressure of exchange supervision continues. According to incomplete statistics from PANews, in the past two months, at least 12 exchanges have closed down or been investigated by the police. In addition to the above three, at least Biss, MGEX, Shell International, Bitsoda, QBTC, Akdex, IDAX and GGBTC exchanges have been subject to strict inspections. Since October 25, the national regulatory authorities have successively released a number of regulatory policies and have begun to clear up the chaos in the industry. Shanghai, Shenzhen and other places have successively introduced a number of policies to remediate the virtual currency exchanges under their jurisdiction.

o2 CBRC: Encourage banks and insurance institutions to actively explore the application of blockchain and other technologies in foreign trade financial services

On December 26, the China Banking Regulatory Commission, the Ministry of Commerce, and the State Administration of Foreign Exchange issued guidance on improving foreign trade financial services. It is mentioned in the guidance that bancassurance institutions are encouraged to further strengthen the construction of business systems, and to achieve rapid exchange of trade information and online trade background examination through direct connection between banks and enterprises and direct connection between banks and insurance companies. Banks and insurance institutions are encouraged to strengthen the accumulation and analysis of foreign trade financial business data to provide necessary support for risk identification, measurement, monitoring, control, and business resource allocation. Encourage banks and insurance institutions to actively explore the application of modern information technologies such as big data, blockchain, biometrics, and artificial intelligence in foreign trade financial services.

o3 Shenzhen Stock Exchange compiled the Shenzhen Stock Exchange Blockchain 50 Index, closing up 1.15% on the first day

On December 24, in order to reflect the performance of the blockchain industry related companies in the Shenzhen stock market, the Shenzhen Stock Exchange and Shenzhen Securities Information Co., Ltd. will release the Shenzhen Stock Exchange 50 Index on December 24, 2019. The index code is: 399286, and the index name is: SZSE Blockchain.

It is reported that the SZSE Blockchain 50 Index is based on companies listed in the Shenzhen Stock Exchange, whose business areas involve the upstream and downstream of the blockchain industry as a sampling space. Named stocks constitute sample stocks. The index is weighted by free float market value, and the sample stocks are regularly adjusted on the next trading day of the second Friday in June and December each year.

The Shenzhen Stock Exchange Blockchain 50 Index is based on the companies listed in the Shenzhen Stock Exchange, whose business areas involve the upstream and downstream of the blockchain industry as a sample space. They are ranked according to the daily average market value in the past six months from high to low, and the top 50 are selected. The stocks constitute sample stocks. As of the close of December 24, the Blockchain 50 Index was reported at 3150.53 points, an increase of 1.15%, and the highest reported point at the same day was 3157.25. From the perspective of the overall A-share market, the Shanghai Composite Index closed up 0.67% today, the Shenzhen Component Index rose 1.32%, and the GEM Index rose 1.91%. Jinyi Technology, the most powerful stock in the sector, rose 309.95% during the year.

From the current market capitalization of selected stocks, the market value of more than 100 billion includes 4 companies: Midea Group, Ping An Bank, SF Holdings, and Oriental Fortune; 16 companies with market value of more than 10 billion: 16 Suning Tesco, Flush, Giant Network , Donghua Software, Halo New Network, BGI, Westone, Huayu Software, Radio and Television Express, 2345, Leo Shares, Monternet, Dongfangtong, Vision China, Beixinyuan and Runhe Software. There are 30 companies with a market value of less than 10 billion.

o4 Shanghai Customs will use blockchain and other means to achieve full chain and comprehensive supervision

On December 23, Shanghai launched the "Shanghai Customs Implementation Plan for Supporting the Construction of Shanghai Science and Technology Innovation Center" (2020 version), innovatively implemented the "white list" system of scientific research institutions, etc., and gave green lights for efficient and safe customs clearance of imported research and development supplies. Zhan Qinghua, Customs Commissioner of Shanghai Science and Technology Innovation Center, said that Shanghai Customs will use modern scientific and technological means such as the Internet of Things and blockchain to improve the efficiency of customs clearance of imported research and development supplies, while realizing the entire process, the whole chain, all time and space, and all-round Supervision.

o5 Japanese e-commerce giant Rakuten allows users to exchange points for cryptocurrencies

Japanese e-commerce giant Lotte's cryptocurrency wallet and trading platform Lotte Wallet announced on December 24 that Japanese users are now allowed to exchange Lotte member points "Rakuten Super Points" for three cryptocurrencies BTC, ETH and BCH for spot trading. transaction. At the same time, these users need to have an account with Rakuten Wallet at the same time.

Officials say that users must have at least 100 Rakuten Super Points to meet the minimum redemption requirements. At the time of redemption, each super point is equivalent to 1 yen. But these three cryptocurrencies cannot be exchanged for super points. The default maximum daily and monthly transaction points are 30,000 points and 100,000 points, respectively.

It is reported that Rakuten Wallet aims to increase the use of cryptocurrencies through this new service while enhancing the viscosity of users. Lotte Wallet started accepting account applications on April 15, 2019, and began providing cryptocurrency resource (virtual cash) transaction management systems on August 19, 2019. At the end of November this year, Rakuten Wallet announced that it had begun preparations for cryptocurrency leverage trading. Rakuten is not the only company that allows users to exchange points for cryptocurrencies. In August 2019, the cryptocurrency exchange bitFlyer partnered with technology service company Tpoint Japan to enable Japanese users to convert points into bitcoin and get rewards for paying in cryptocurrency.

o6Youtube deletes multiple industry big V video cryptocurrency related content is classified as "harmful information"

On December 25, according to NewBTC, multiple YouTube videos on the Youtube platform were deleted, and discussions on the platform or closing of the cryptocurrency industry channel attracted much attention on Twitter. According to NewBTC statistics, there are currently a number of crypto educators Omar Bham (named "Crypt0" on Youtube), Alex Saunders' "Nugget's News", and encrypted media creator Michael "Boxming" Gu, etc. The top big V channels took a hit, with 50 videos in the Nugget's News channel being deleted.

According to Cryptoiq, YouTube is reviewing crypto-related videos. At first, without any warning, the content of the creators of Crypto Tips, The Cryptoverse and Node Investor on the platform was deleted. In addition, the content giants received YouTube's week-long content ban, and a serious warning: If similar content is produced again, their accounts will be permanently closed.

Although most deleted crypto-related videos are classified as "harmful or dangerous information," the YouTube platform's terms of service have not yet stated that crypto-related content has been banned. As of December 26, Cointelegraph reported that YouTube tweeted that it would investigate the matter and update it as soon as possible. Regarding the deletion of the video, a Twitter netizen @reetkid asked V God if he knew that Ethereum's biggest competitor (referred to as EOS) has been building Voice for more than a year. God V replied: "I have just applied for a trial of (Voice) and I look forward to seeing what they want to do."

o7 U.S. prosecutors reject bail application from Ethereum developer Virgil Griffith, saying it opens money laundering agency in North Korea

According to The Block report on December 27, Ethereum developer Virgil Griffith was arrested last month for allegedly assisting North Korea to learn more about blockchain and cryptocurrencies. Currently, the U.S. Attorney's Office has rejected a request for bail from Ethereum developer Virgil Griffith on the grounds that Virgil Griffith mentioned in a text message to his parents that he had given up U.S. citizenship and opened a money laundering company in North Korea.

According to the Federal Department of Justice responsible for detaining detainees, Virgil Griffith is still being held.

PANews previously reported that on November 30, the U.S. Attorney's Office of the Southern District of New York and the FBI announced that they had arrested and charged Virgil Griffith, an Ethereum developer. On December 3, Virgil Griffith's agent Brian Klein publicly stated that Virgil Griffith would be released pending trial. According to the allegations, Virgil was arrested on suspicion of violating the International Emergency Economic Powers Act and travelling to the Democratic People's Republic of Korea ("DPRK" or "North Korea") to speak and technology on circumventing sanctions using cryptocurrency and blockchain technology Suggest. It is reported that the act violates the International Emergency Economic Powers Law and can be sentenced to a maximum of 20 years in prison.

o8 Tencent releases internal notice, will set up digital currency research project team and designate relevant person in charge

On December 23, according to a deep chain financial report, Tencent internally released the "Notice on Establishing a Digital Currency Research Project Team (Virtual Organization) and Appointing Responsible Persons". The "Notice" stated that in order to actively respond to the call of the "Opinions of the Central Committee of the Communist Party of China on Supporting Shenzhen to Build a Pioneering Socialist Demonstration Zone with Chinese Characteristics" on "Initiating Digital Currency Research and Innovative Applications in Mobile Payments in Shenzhen", the company continued to advance the company's payment strategy To ensure the long-term and healthy development of the payment business, and further leverage the advantages of inter-departmental resources and technology, through the CDG enterprise development business group-payment basic platform and financial application line, WXG WeChat business group-WeChat payment line, S1 functional system-functional line, S2 functional system—financial line studies and reports to the relevant business group leaders for review and decision. A digital currency research project group (virtual organization) is established under the enterprise development business group payment basic platform and financial application line.

The project team is overall responsible for advancing the work of the digital currency research project, following up on the latest policies of relevant government departments, conducting digital currency related research, business model innovation and application scenario verification.

o9 US heavyweight risk management industry organization COSO releases blockchain security guidelines next year

On December 28, the Wall Street Journal reported that the influential risk management operations industry advisory organization, the Sponsor Committee of the American Anti-Fake Financial Reporting Committee (COSO), plans to issue guidelines next year to guide companies on how to implement blockchain technology. Apply internal controls and manage risks across the enterprise.

It is reported that COSO is developing voluntary guidelines to strengthen enterprises' supervision of blockchain technology projects and is expected to be released in the first quarter of next year. COSO chairman Paul Sobel said the guidance is aimed at executives in the financial services industry and companies that use blockchain technology in their supply chains. A major priority for COSO next year is to develop this guidance to address emerging issues facing risk management professionals.

10 extra large virtual currency MLM case "U Bao Coin" broke in less than two years, less than 1.17 billion yuan

According to the China News Network Guangxi report, on December 24, the Zhongshan County People's Court in Hezhou City, Guangxi, opened a verdict on the "U Baobi" oversized virtual currency MLM case. The court hearing found that in January 2018, Wang Yifan, Teng Xiao, and others used Liu Kai and Teng Xiao to create the "U Bao" platform, relying on the company's 10,000 companies to conduct corporative operations and issue virtual currency U Bao coins. Carry out MLM activities to defraud others' property. It is reported that the funds involved in this case amounted to more than 1.17 billion yuan. The public security organs seized and frozen 15 companies' accounts and 188 personal accounts, and the amount involved in seizures and freezes amounted to more than 200 million yuan. The trial results showed that the principal Wang Yifan was sentenced to seven years in prison by the Zhongshan Court for a crime of organizing and leading a pyramid scheme, and was fined 20 million yuan.

It is reported that on January 10, 2018, Ubao currency began private placement within members and sold to members at a price of 6.4 yuan per Ubao, etc. Members can invest in the Ubao issued by private placement. On February 26 of the same year, the Ubao platform officially launched and released Ubao online, selling it to members online for 12.8 yuan per Ubao. Later, the Ubao platform of Union Union Wanjia has derived "Ubao Options" and "Ubaozi Assets", which have attracted a large number of members on the Internet, using high dynamic and static income as bait.

The Ubao platform has developed into a total of 12 systems, with more than 170,000 registered members and more than 470,000 registered accounts. When members register, in addition to filling in their personal information, they also need to fill in recommenders, contacts, etc. The platform system automatically recognizes records based on the recommendation relationship. The recommender and new members form an online relationship and form a pyramid-shaped MLM organization system. The platform system uses the number of development personnel as a basis for remuneration or rebate, thereby obtaining illegal benefits.

11Baidu Research Institute's top ten technology trends forecast for 2020: Blockchain will be integrated into more application scenarios

On December 24, Baidu Research Institute released ten major technology trend forecasts for 2020, including the inclusion of blockchain in more application scenarios.

With the deep integration of blockchain technology with AI, big data, IOT, and edge computing, the data and offline mapping problems are solved one by one. Solutions such as data confirmation, data use, data circulation and exchange built around the blockchain will play a huge role in all walks of life.

For example, in the field of e-commerce, the authenticity of the entire process data of goods can be guaranteed; in the field of supply chain, the openness and transparency of the entire process data can be guaranteed, as well as the secure exchange between enterprises; in the field of government affairs, government data can be opened, The realization of electronic documents and so on.

12 Beijing Chaoyang Procuratorate: Illegal fundraising crimes are still the hardest hit area in 2019, and virtual currency scams are repeatedly banned

On December 25, the Economic Daily published an article "Illegal fundraising crimes are the hardest hit areas." According to the article, the Chaoyang District Procuratorate of Beijing recently released the "White Paper on Financial Inspection of the Chaoyang District of Beijing", revealing new characteristics and trends of financial crimes, and prompting to prevent new loopholes in financial management.

According to the white paper, illegal fund-raising crimes are still the hardest hit areas, expanding from P2P and offline wealth management companies to trading platforms, virtual currencies, ICOs, and private equity funds. In 2019, the Chaoyang District Procuratorate in Beijing accepted 84 cases of illegal fund-raising review and prosecution, involving over 100 million yuan, accounting for 18%. Among them, 15 cases involved more than 500 million yuan, 7 cases exceeded 1 billion yuan, and 2 cases exceeded 10 billion yuan.

It is worth noting that virtual currency scams are repeatedly banned, and "Ponzi schemes" are often used as bait with high rebates. The white paper reveals that many criminals are carrying out illegal fund-raising through the issuance of "virtual currency" and "virtual assets" under the banner of "blockchain", "virtual currency" and other innovative hot spots. For example, in the case of Luo Moumou's illegal absorption of public deposits, the company involved in the case published a virtual currency called Mintongbao on the website without applying for record filing to attract investors to enter.

13The nation's first "Blockchain Technology Capability Test (Elementary)" launched

According to People's Daily News, on December 21, 2019, 30 candidates participated in the nation's first "Blockchain Technology Ability Test (Elementary)" at the Xuhui Campus of Shanghai Normal University. Candidates are composed of students from universities such as Tongji University, East China University of Science and Technology, Shanghai Normal University, and half of them are employed. Among them, there are financial industry practitioners who have worked in the past 20 years. After passing the exam, he obtained a professional technical competence certificate issued by the Chinese Institute of Electronics to possess primary professional technical knowledge to enter the blockchain field.

The preliminary preparation of "Blockchain Technology Ability Test (Elementary)" includes the overall preparation of the textbook "Principle and Practice of Blockchain Technology" (Mechanical Industry Press, January 2020) in colleges and universities, the organization of related training teachers, Expert review of the "Blockchain Technology Ability Test (Elementary)" exam outline until the introduction of the relevant test question bank.

The exam knowledge module consists of 6 parts, namely: blockchain system knowledge, blockchain network communication, blockchain security mechanism (including encryption algorithm), consensus mechanism, smart contract, and blockchain application operation. Test propositions "know", "understand", and "master" propositions based on the cognition of each part of the test outline, and finally present the set of right and wrong questions, multiple choice questions, and experimental operation questions. The test time is 120 minutes, and the entire test is a closed book test.

14 Insurance risk control blockchain platform construction officially started, 14 insurance companies have announced their joining

According to the Securities Daily, the construction of the insurance risk control blockchain platform was officially launched at the "Initiation of the Development of Blockchain Application Technology Standards for the Insurance Industry and the Release Ceremony of the" White Paper on Blockchain Insurance Applications "held on December 27. Insurance companies announced their joining the alliance chain platform. At the same time, the construction of "Technical Standards for the Application of Blockchain in the Insurance Industry" was launched on the same day, with 109 industry organizations participating, responding and actively supporting the formulation of the standard. This means that the application of blockchain technology in the insurance industry will accelerate, and the application scenarios will be more abundant, and the industry is also looking forward to more landing application results.

At present, there are PICC P & C, CPIC Ping An, Ping An P & C, Dadi P & C, China United Insurance, Anda P & C, Mitsui Sumitomo, Shidai P & C, AXA, Sunshine P & C, Huatai P & C, A total of 14 insurance companies including Yongcheng Property & Casualty Insurance, Dubang Property & Casualty Insurance and Huaan Property & Casualty Insurance formally announced their participation in the insurance risk control blockchain platform.

The "White Paper" points out that the insurance industry is likely to become one of the first large-scale applications of blockchain. Blockchain has huge application scenarios with the insurance industry in at least 11 aspects, including reinsurance, annuity management, insurance risk control, health care, points, digital insurance policies, traceability of agricultural insurance, insurance alternative asset management, OTC digitalization, International trade insurance and mutual insurance.

According to PANews statistics, there were 8 projects in the blockchain field announced last week with a total amount of over 11.6 million U.S. dollars (excluding projects that have not disclosed the specific amount of investment and financing), involving financial services, exchanges, public chains, infrastructure, Data privacy, media, etc.

o1 cryptocurrency broker BitOoda completes $ 7 million seed round financing

On December 24, according to The Block, cryptocurrency broker BitOoda has now completed a $ 7 million seed round of financing. Investors include former head of global oil analysis at S & P Global Platts Energy Information, and now Gary Ross, founder of PIRA Energy; Calvin Schlenker, former head of North American natural gas trading at BP; and Roy Salame, former head of commodity sales and structure at JP Morgan Chase.

BitOoda founder and CEO Tim Kelly said the new funding will help BitOoda expand its business in the US and Asia-Europe. Founded in 2017, BitOoda is a cryptocurrency financial services economics provider integrating digital finance and applied science.It is currently registered with major US regulatory agencies such as the SEC and CFTC.

O2 venture fund Dragonfly invests in public chain Nervos, no specific amount disclosed

On December 24, the official fund of Dragonfly Capital, a venture capital fund, announced that it has invested in the public chain project Nervos, and the specific amount has not been disclosed. According to the blog, the Nervos network is completely open source and the mainnet was launched in November 2019. Dragonfly Capital plans to connect East and West by driving new collaboration opportunities, supporting building applications on the Nervos platform, and continuing to help the Nervos team and network.

It is reported that the Nervos CKB mainnet "Lina" was officially launched as early as the afternoon of November 16. Nervos Network is divided into two layers of architecture. The bottom layer is Nervos CKB, which focuses on providing security and decentralization. The upper layer is Layer 2 facilities, which focus on high scalability. Dragonfly Capital Partners is a well-known venture capital fund managed by experienced US and Asian venture capital firms. Earlier, Dragonfly announced the launch of a $ 100 million fund dedicated to investing in cryptocurrency startups.

o3 Yunxiang received tens of millions of yuan in A ++ rounds of financing, and multiple rounds of financing received over 200 million yuan in funding support

On December 26, according to reports from the investment community, Cloud Elephant Blockchain announced the completion of tens of millions of yuan in A ++ rounds. PANews previously reported that in September this year, Cloud Elephant announced the completion of tens of millions of yuan in A + round of financing, the investor is Zhejiang Yongxi Investment Management Co., Ltd. So far, Yunxiang Blockchain has received a total of 5 rounds of financing, and has been invested by many well-known institutions such as Shenzhen Innovation Investment Group Co., Ltd. (Shenzhen Venture Capital), the China Economic Cooperation Group, and Duowei Julong. .

Yunxiang Blockchain was established in 2014. The company is headquartered in Hangzhou and is positioned as a blockchain infrastructure service provider. The main products of Yunxiang Blockchain include the blockchain infrastructure Yunphant Chain, and the blockchain operation and maintenance management platform Yunphant BaaS. , Developer Platform and Cloud Box Blockchain Open Platform.

o4Maskbook founding team Dimension.im secures strategic investment from HashKey Capital

On December 23, according to the chain news, the privacy plug-in project Maskbook development company Dimension received a strategic investment from HashKey Capital. Dimension was founded in 2017 and has received investments from Fengrui Capital Li Feng and Tony Tao.

It is reported that the Dimension team launched Maskbook, an open source plug-in that can implement encrypted communication on existing social platforms. Once the project was released, it received tens of thousands of traffic and screen-level discussions. The original intention of Maskbook is to create a plug-in that can implement encrypted communication on existing social platforms, allowing users to have data sovereignty without migration and changing user habits.

o5 China Ocean Heavy Industries Foundation invests in blockchain streaming platform NewStar

According to December 25 news from Finance Magnates, the COI Blockchain Foundation, a subsidiary of China Ocean Heavy Industries, announced that it will form a strategic partnership with Singapore's Flamingo Foundation (Plam), specifically targeting its blockchain-based streaming platform NewStar . According to the agreement, the COI Blockchain Foundation has put forward ideas related to entertainment and blockchain layout, and expanded new investments.

o6 fan chain FANS receives strategic investment of tens of millions of yuan from Malta GODFUND fund

On December 26, according to CoinWorld news, fan chain FANS announced that it had obtained tens of millions of RMB in strategic investment from the Malta GODFUND Fund. GODFUND will honor its commitment by increasing its holdings in the secondary market. In the future, the two parties will carry out in-depth bundling in public chain construction, business cooperation, resource docking, and ecological construction. In addition, FanChain announced the establishment of a Blockchain Lab, which will explore the blockchain to enable the real industry economy and future development models, use the Proof of Opinion mechanism to form token rewards and give back to the FANS community ecology. Contributing community members. At present, the community members have exceeded 100,000.

o7Huobi Japan completes US $ 4.6 million strategic investment financing

On December 25, according to Finance Magnates, Huobi Japan received a US $ 4.6 million strategic investment financing round, which was invested by Tokai Tokyo Financial Holdings.

The exchange announced today that it will distribute new shares to financial product groups (FPGs) through third-party placements. According to its detailed instructions, the new funds will be used to expand its business in Japan, providing a "safe, reliable and customer-oriented" financial services platform. It also plans to digitize the country's securities market using decentralized account technology (DLT).

After the Singapore-based cryptocurrency exchange acquired a majority stake in the BitTrade exchange, Huobi Japan has become a fully compliant entity. Since BitTrade has obtained the permission of the Japan Financial Services Agency (FSA) to operate a cryptocurrency exchange, this also provides Huobi.com with a convenient access to the Japanese market.

o8BigONE announces completion of acquisition of domain name and BaseFEX exchange

On December 24, BigONE CEO Lao Tian announced on the live broadcast that two completed heavy acquisitions: the acquisition of the base contract contract baseFEX and the 7-figure purchase of the bigone.com domain name.

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