Chinese cyberspace regulators have drafted new rules. That would necessitate obtaining its consent before making investments or engaging in fundraising activities by significant internet corporations. According to them, the proposed regulations from China’s Cyberspace Administration (CAC) will apply to any platform company with more than 100 million users or a turnover of more than 10 billion yuan ($1.58 billion).
According to Reuters, any online company participating in areas listed on China’s National Development and Reform Commission (NDRC unfavorable)’s a list from last year will have to apply for approval. They also put out notices regarding numerous internet businesses. They have already been notified that the proposed rules are still subject to change. Because the material was not yet public, the sources declined to be identified. A request for remark from the CAC was not immediately returned.
The cyberspace regulator circulated a new set of guidelines, which will go into effect on Feb. 14.
The proposed regulations are the latest from China’s increasingly powerful regulators. It has dominated in the country’s previously freewheeling Internet titans in areas ranging from dealmaking to user data handling in the last year. This year, the Chinese cyberspace regulator circulated a new set of guidelines, which will go into effect on Feb. 14. Requiring platform businesses with data on more than 1 million users to go through security scrutinies before listing overseas.
Meanwhile, China is formulating national laws. It is to make it easier for property developers to access presale wealth stored in escrow accounts, according to people familiar with the situation. The new regulations would enable developers to utilize reserves in escrow. Managed by municipal governments with no central oversight to meet debt commitments, pay suppliers, and finance operations, Beijing intends to roll out the new rules as early as the end of this month. China’s economy is the world’s second-largest is behind the United States. China has domination over the property industry. It accounts for around one-quarter of the country’s GDP.