As Chinese government completely and effectively shut down ICOs and token exchange activities in China, investors and participants are seeking offshore opportunities in Japan, Singapore, Hong Kong, and the U.S. Many crypto exchanges are relocating to Japan and Singapore. As China is restricting investments in real estate sectors, investors are not quite comfortable with performance of Chinese stock market, more and more capital investments are pushing into international technology sectors, startups and ICOs. Silicon Valley is always considered Mecca for technology investors from China. Now investors are very interested in US based ICOs and startups in blockchain technology. However, there are perceptions that investing in ICOs can get high yield and return in a short period of time, it trigger tremendous interest in ICOs and blockchain from China.
Even token exchange platforms are no longer operating in China, that does not stop Chinese investors from trading coins or promoting new ICOs in China. It is believed that Chinese social media Wechat has over ten thousand social groups that focus on blockchain and crypto discussions. Another social media QQ also have thousands of blockchain discussion groups. There are a lot “underground” activities involved in ICO promotion and buying activities. There is no way Chinese authority can eliminate such groups and events. Many people believe that China will soon reopen exchanges under a highly regulated environment.
Family offices, wealth managers and other institutional investors in Beijing, Shanghai, Guangzhou and other major markets in China are also examining investment and business opportunities in blockchain and crypto industry.