The very first government to try and provide various ratings for various cryptocurrencies has now banned people from even using it. This happened today, and the China Centre or CCID has launched their own monthly index. They have done this with 28 coins and even the blockchains that help to power them. The CCID have stated that the index itself is based on three different pieces of criteria. One of them is the application, the innovation and even the technology as well. They have been yet to publish their methodology but Ethereum really is ranked as being the first of its rating. When you look at Bitcoin however you will find that this is sitting at number 13, although there is no explanation as to why.
The CCID have announced last week that they are going to be keeping an eye on how various cryptocurrencies are doing but they have yet to cite an independent analysis that can be used by research centres, enterprises and even governments. When you look at various financial agencies such as Weiss, you will see that they have published the ratings but they are much more focused on ratings when compared.
China’s own government have made it very clear that they have no intentions of ever making cryptocurrency and this is all because of how financially instable it is. That being said, they have openly welcomed blockchain technology. China have also banned things like ICOS and people are not allowed to trade in cryptocurrency there either. They have also cracked down on those who choose to mine cryptocurrencies as well but the central bank is still the first bank ever to actually even look into sovereign cryptocurrencies. The tech giants in the nation are using blockchain in things like gaming as well. In fact, last year, well over half of the blockchain related patent applications came from the country of China.
Eric Zhao is an engineer that is based in Shanghai and he has stated that he won’t take these ratings seriously at all. He believes that a lot of old school experts have not been following the whole thing for long enough and this means that they have not been able to grasp some of the traits that need to be taken into account. He also added that it is a sign that officials are starting to look at cryptocurrencies like they are projects or even something to look into rather than seeing them as something that is going to challenge their banks and their infrastructure.