CAC could be said to be one of China’s top-level internet censorship agency. On Friday, the administration released a draft policy tagged “The Regulation for Managing Blockchain Information Services” which is believed will go a long way to regulate blockchain-related service providers in the country.
Although, the new policy is yet to be approved as it awaits public feedback before it will take effect. If the new policy is passed into law, then all entities within the country regarded as a blockchain information service provider will have to corporate with the new rules and policy. It is in no doubt, true that this would represent one of the country’s first regulatory frameworks drawn up specifically for the blockchain industry.
According to the draft drawn earlier by CAC, they defined Blockchain Information Service Providers as “entities or nodes that offer information services to the public not excluding institutions and individuals, using blockchain technology via desktop sites or mobile apps.
The CAC requires blockchain service providers to enrol with the organization within 10 days of the start of offering products to the public as part of the total 23 articles suggested in the draft. The proposed plan instructs that blockchain startups should register their names, industry fields, service types, and server addresses with CAC. This information shall be available to the public and the CAC shall conduct annual reviews, together with the proposed policy.
Although the CAC does not make a clear statement on what types of blockchain startups should be included in its definition, some Chinese experts said that this regulation could have an impact on the super- knodes of certain blockchain networks.