Chinese Police Purportedly Shut Down ICO Startup’s Office

The local police have purportedly shut the workplaces of Chinese initial coin offering (ICO) startup GXChain.

On September 11, Dovey Wan — establishing partner of blockchain-based investment company Primitive Ventures — tweeted a photograph of an office taped closed (probably by Chinese police) and said that GXChain “got clamped down by the Chinese police.” She additionally said that she trusts the task to be remarkable and genuine:

“GXChain was a very hot ICO back in the days with ATH market cap over $600M (even now still holds $48M) and considered to be among the very few legit ICOs.”

In a follow-up tweet, Wan likewise recommends that the field where the startup operates — selling processed individual credit information — might be the purpose for the closure. She stated:

“I have no idea why the police took action against GXchain instead of 10,000 other Chinese scams, as GXchain has a real business behind. The trigger might be their data business — they sell processed personal credit data, which is a highly sensitive area now in China.”

As previously reported in August, Chinese police are supposedly examining non-custodial token trading platform EtherDelta regarding an evident exit scam.