The NDRC, together with the Cyberspace Administration of China ("CAC”) and the MIIT, jointly issued the Circular for Promoting the Healthy Development of the Sharing Economy (“Circular”) on 28 May 2018.
The Circular requires that operators of online sharing service platforms should improve their safeguarding mechanisms for customer protection. The operators may combine technical measures such as AI and big data with a manual verification system to strengthen their verification of identities and their content management. They should establish a reasonable pricing and matching system to ensure the fairness of all transactions. In addition, they are required to establish a convenient evaluation and complaints channel for customers to protect the customers' rights.
The Circular provides that platform operators should strengthen their protection of personal information, and refrain from engaging in a monopoly or any unfair competition or IP infringement activities. They must also not conduct illegal or criminal activities such as illegal fund-raising or jeopardizing national security..
Please click here to read the full text (Chinese only) of the Circular.