CCTV: Beware of virtual currency scams, token issuance is suspected of illegal issuance of securities and financial fraud

According to BlockBeats, on June 2, CCTV News Channel's "News Live Room" broadcast the "Beware of Virtual Currency Scams" column, reminding investors to be wary of virtual currency scams and stating that the supervision of virtual currencies is constantly escalating. CCTV said that it only takes a few minutes from the issuance of ERC-20 tokens to the launch of the Uniswap trading platform. Some virtual currency projects have loopholes in the code, set transaction barriers, control token prices, and cause investors to lose assets. CCTV also stated that token issuance is an illegal issuance of securities, suspected of illegal operations and financial fraud. According to the National Blockchain Vulnerability Database, the number of security incidents in the blockchain field in 2020 reached 555, an increase of 240% over 2019, causing economic losses of 17.9 billion US dollars, an increase of 130% over 2019. CCTV also stated that forward contracts on cryptocurrency trading platforms are illegal futures activities. At present, the supervision of Bitcoin mining and trading activities is constantly escalating.