China Needs To Reform Crypto Laws, Says Ex Official

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Former chair of China Securities Regulatory Commission Xia Gang asserted that the country is facing transformation in a digital world and thus needs to adapt the right regulations for a vastly growing crypto market.

Addressing the 19th Pushan Lectures of China Finance 40 Forum, also known as CF40, Xia made the remarkable statement on Tuesday. The event was attended by a number of officials to discuss the lessons learned from the 30-year development of China’s capital market.

 Xiao said there was an urgent need to embrace digital reform according to local media reports.

“The development of the digital capital market faces the problem of organizational change. The most typical, such as the cryptocurrency exchange, is bound to happen in the future. How to deal with such organizational change is also a problem that we may encounter.”

Xiao also reportedly said that the boundaries of some products and services in the digital capital market are becoming blurry and thus the current laws and regulations are required to be changed. He said that getting the balance wrong attempting to protect investors and consumers could potentially lead to big problems.

“We must adhere to the principles of openness, inclusiveness, sharing and fairness in the development of the digital capital market […] we should actively embrace new technologies, prudently innovate business models […] promote data connectivity and create a fair market environment,” Xiao said some basic principles needs to be changed.