Da Hongfei, founder of Neo was contacted by Chinese Regulators


On interview with one of the leading financial newspaper of the Netherlands (www.fd.nl), founder of NEO also known as Chinese Ethereum states that he was contacted by Chinese regulators to provide information and suggestions before crackdown.

In conversation with Het Financieele Dagblad, Da Hongfei stated ;

No, none of the supervisors have contacted me. But before they started cleaning up the market, I was asked for information and suggestions.

He also added recent rumor about possible shutdown of cryptocurrency mining in China is just myths

It’s never confirmed. I think the supervisors are particularly worried about the challenges that bitcoin and other crypto currencies entail. The status of fiduciary money came under pressure.

Due to strict capital restrictions its really hard to get Yuan out of china and now governments are worried that cryptocurrencies will take over existing way of money transfers and investments. The withdrawal of capital through ICO is possible and this issue was already raised by USA and Russian regulatory authorities. Although china been the first country to shake the market.

NEO was distributed through ICO last year where contributors have paid less than a penny for one NEO and on mid-august it was valued over $52, which have increased total marketcap of NEO from just €3.2 million to $2.4 billion.

The influence of Chinese traders have dropped significantly in recent days. He says

I think you can better check what’s happening in South Korea and Japan. That applies to the bitcoin, and also to the Neo. China will continue to be an important factor in the course of the short term, but I think most of the issued Neo’s are now in foreign hands.

When asked about possible collaboration with Chinese government, Da doesn’t think Government will contact him for collaboration in near future as government is not a business but in mid to long term it is possible. He also suggested everyone to use NEO as china based blockchain infrastructure for time being.