China will soon require blockchain users to register with their government IDs

China’s central government has drafted a new regulation that would strip blockchains of their anonymity, requiring users to provide their real names and national ID card numbers when registering for a blockchain service. Trading Bitcoin is already banned in the country, but the policy will place significant restrictions on ongoing blockchain development.

On Friday, the Cyberspace Administration of China, the country’s internet regulator, released a draft of the policy, which would also require blockchain services to remove “illegal information” quickly before it spreads among users. The services will also be required to retain backups of user data for six months and provide them to law enforcement whenever necessary. Users who break the...

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