Cryptocurrency chaos as China bans initial coin offerings

Beijing

CHINA'S move last week to ban initial coin offerings (ICO) has caused chaos among startups looking to raise money through the novel fund-raising scheme, prompting halts, about-turns and rethinks.

China is cracking down on fund raising through launches of token-based digital currencies, targeting ICOs in a market that has ballooned this year in what has been a bonanza for digital currency entrepreneurs.

The boom has fuelled a jump in the value of cryptocurrencies, but raised fears of a potential bubble. "This is not unlike the dotcom bubble of 2000," said …