# 26. Building a website or platform: licensing, registration, and servers

If you want to create a website or app, this section explains four key points: what legal category your business falls under, which permits you must obtain, where to host your servers, and who is responsible for user content and payments. The focus here is on personal freedom and financial matters. The items are ordered as follows: first, activities that could land you in prison; second, permits you must secure beforehand; third, everyday tasks any platform must handle; and finally, practical tips for choosing a server — though no exact figures can be given. As a hired technician, you must stay within the boundaries outlined in Section 11. Details on company registration and tax filing are covered in Section 12 and are not repeated here. A comparison chart of required permits and a decision table for server selection can be found at [docs/做平台要办哪些证.md](../../docs/research/做平台要办哪些证.md).
### 1. Platforms must never collect payments themselves and then transfer them to sellers; funds must be settled directly via a licensed payment institution
<!-- 成本标签: 钱=0 时间=中 毅力=否 收益=大 口径=自由 -->
- Cost: No monetary cost is involved. However, it requires some time to integrate a product from a licensed payment institution — that is, a company holding a payment license issued by the People’s Bank of China. By using such institution’s split-payment or escrow features, buyer payments are transferred straight to sellers without ever entering the platform’s own accounts.
- In plain terms: If a platform first receives buyer payments into its own account and then forwards them to sellers, it is effectively operating a payment business. Running such a business requires explicit approval from the People’s Bank of China as well as a minimum registered capital of 100 million RMB, paid in cash. Operating without this approval leads to immediate shutdown, confiscation of all earnings, heavy fines, and personal penalties for owners and responsible staff; in severe cases, criminal charges may also apply. The only safe approach is to ensure that no funds ever land in the platform’s account.
- Benefit: According to regulations, a payment business is defined as “transferring monetary funds based on electronic payment instructions submitted by payers or payees.” In other words, it involves moving money on behalf of others per their instructions. To operate such a business, one must obtain a payment license from the People’s Bank of China, and the minimum registered capital must be 100 million RMB, paid in full. Unauthorized operation results in immediate closure, seizure of all profits, and fines ranging from 500,000 to 2 million RMB if no profit was generated or if profit fell below 500,000 RMB; additionally, a further fine of 100,000 to 500,000 RMB applies to legal representatives and responsible personnel. Criminal law also classifies “illegally conducting fund payment and settlement services” as illegal business activity; serious violations may lead to imprisonment of up to five years, while especially grave cases incur sentences exceeding five years. As of May 2024, the threshold for “serious” violations is defined as total illegal transaction volume exceeding 5 million RMB or illegal profits surpassing 100,000 RMB nationwide.
- Evidence grade: A
- Notes: Designing the payment flow so that funds never enter the platform’s account is the sole safe method. In industry parlance, this practice is sometimes called “second clearing,” though this term does not appear in official documents; instead, regulations refer to it as “indirectly engaging in payment services.” The Supreme People’s Court and Supreme People’s Procuratorate explicitly list only three scenarios as illegal: fabricating transactions for cash-out, using corporate accounts for cash-out, and using cheques for cash-out. Platform-based collection and redistribution of payments are not explicitly named, so this description strictly follows statutory wording without asserting that it automatically constitutes a crime.
- Sources:国务院 (2023). 非银行支付机构监督管理条例（国务院令第 768 号，第二、六、八、二十七、四十七条）. <https://www.gov.cn/gongbao/2024/issue_11086/202401/content_6924970.html> ; 中国人民银行 (2024). 非银行支付机构监督管理条例实施细则（中国人民银行令〔2024〕第 4 号，第六十八条）. <https://www.gov.cn/gongbao/2024/issue_11546/202408/content_6970979.html> ; 全国人大 (1997). 刑法（第二百二十五条第三项）. <https://www.spp.gov.cn/spp/fl/201802/t20180206_364975.shtml> ; 最高人民法院、最高人民检察院 (2019). 关于办理非法从事资金支付结算业务、非法买卖外汇刑事案件适用法律若干问题的解释（第一、三、四条）. <https://www.spp.gov.cn/xwfbh/wsfbt/201901/t20190131_407161.shtml>

### 2. Paid websites require a license; platforms that facilitate transactions need a different type of permit; free sites only need to be registered
<!-- 成本标签: 钱=多 时间=多 毅力=否 收益=大 口径=自由 -->

- Cost: Registration is free of charge. Obtaining a Value-Added Telecommunications Business License, however, involves costs; this license governs whether websites that charge users can legally operate. To apply for this license, you must first establish a company. For operations limited to one province, the registered capital must be at least 1 million RMB; for nationwide operations, it must be at least 10 million RMB. The review period lasts 60 days, and the license remains valid for 5 years.

- In plain terms: Websites that charge users must first obtain a Value-Added Telecommunications Business License. This license is issued solely to companies; individuals cannot apply for it. Free websites, on the other hand, only need to be registered, and this process incurs no fees. Operating a paid website without the proper license may result in confiscation of revenues, fines, or even closure. This section does not determine whether your platform falls under the category of transaction-facilitating services; the reasoning is explained in the notes.

- Benefit: The regulations state: “The state implements a licensing system for commercial Internet information services and a registration system for non-commercial ones. No entity may provide Internet information services without obtaining a license or completing registration.” In other words, paid services must first secure a license, while free ones must register; operating without either is prohibited. “Commercial services” are defined as activities involving paid provision of information or webpage creation to users. Platforms that facilitate transactions are classified under Online Data Processing and Transaction Processing Services, commonly abbreviated as EDI. These services involve using data and transaction platforms linked to public communication networks to handle data processing and transactions on behalf of users. Such activities include transaction processing, electronic data exchange, and data handling via network devices. Operating without a license or exceeding its scope of permission results in confiscation of all illegal revenues and fines ranging from 3 to 5 times that amount. If no illegal revenues exist or they are under 50,000 RMB, fines between 100,000 and 1,000,000 RMB apply; severe violations may lead to website closure nationwide.

- Evidence grade: A

- Notes: To determine whether your platform qualifies as an EDI service, compare its activities to the definitions listed in the Telecommunications Business Classification Catalogue. No official regulation explicitly states that e-commerce platforms handling transactions and payments must obtain an EDI license. The Ministry of Industry and Information Technology’s guidelines merely advise applying for the appropriate license based on actual business activities. Therefore, this section merely outlines definitions without making any definitive conclusions. Additionally, only legally incorporated companies may apply for this license; individuals are ineligible.
- Sources:国务院 (2000). 互联网信息服务管理办法（国务院令第 292 号，2024 年 12 月 6 日第二次修订，第三、四、七、十九条）. <https://www.gov.cn/gongbao/content/2011/content_1860864.htm> ; 国务院 (2024). 关于修改和废止部分行政法规的决定（国务院令第 797 号，第十八项）. <https://www.gov.cn/gongbao/2025/issue_11786/202501/content_6997034.html> ; 国务院 (2000). 电信条例（2016 年第二次修订，第七、九、十三、六十九条）. <https://www.gov.cn/gongbao/content/2016/content_5139478.htm> ; 工业和信息化部 (2017). 电信业务经营许可管理办法（工信部令第 42 号，第六、九、十一、十四条）. <https://www.gov.cn/gongbao/content/2017/content_5240090.htm>

### 3. Obtaining a license for online cultural activities is required to run live streams; private companies rarely qualify for the permit needed to distribute audiovisual content
<!-- 成本标签: 钱=多 时间=多 毅力=否 收益=大 口径=自由 -->

- Cost: The so-called “Online Cultural Activities License” governs whether one may earn money via live streams or game commentary. It is issued by provincial-level cultural authorities within 20 days of application and remains valid for three years, after which renewal must be requested at least 30 days prior to expiration. The separate Audiovisual Content Distribution License determines eligibility to publish programs online; it mandates that applicants be wholly state-owned or state-controlled entities — private firms essentially cannot obtain it.

- In plain terms: To host live streams or game commentary sessions, you must secure a provincial-level Online Cultural Activities License that explicitly lists “online performances” among its permitted activities. Approval is granted within 20 days, and the license stays valid for three years. All recorded streams must be retained for a minimum of 60 days. Operating without this license results in immediate suspension, warnings, and fines up to 30,000 RMB; repeat offenders face inclusion on a cultural industry blacklist. A separate permit is required to distribute audiovisual content online, and only state-owned or state-controlled organizations may qualify for it.

- Benefit: Securing the proper licensing framework ensures legal operation within China’s digital media sector while avoiding punitive measures. Compliance safeguards both business continuity and reputation by adhering to stringent regulatory standards governing online cultural activities and audiovisual distribution.

- Evidence grade: A

- Notes: Detailed licensing requirements are comprehensively outlined in official directives issued by seven government departments. Platforms monetizing live streams must additionally secure ICP registration — a mandatory filing process administered by China’s Ministry of Industry and Information Technology. Entities distributing audiovisual content must obtain the requisite Audiovisual Content Distribution License or complete applicable registration procedures. News publishers require a separate Internet News Information Service License. Note that the 2011 version of the Interim Provisions on Internet Cultural Management, republished by China’s Government Portal in 2025, remains unamended; current compliance references must be drawn from the Ministry of Culture and Tourism’s latest official texts.
- Sources:文化部 (2016). 网络表演经营活动管理办法（文市发〔2016〕33 号，第二、四、六、十三、二十条）. <https://zwgk.mct.gov.cn/zfxxgkml/scgl/202012/t20201206_918194.html> ; 文化部 (2011). 互联网文化管理暂行规定（文化部令第 51 号，2017 年经文化部令第 57 号修订，第七、八、九、十六、二十一、二十八条）. <https://zwgk.mct.gov.cn/zfxxgkml/zcfg/bmgz/202012/t20201204_905340.html> ; 广电总局、信息产业部 (2007). 互联网视听节目服务管理规定（第 56 号令，2015 年修订，第二、七、八、二十四条）. <https://www.gov.cn/zhengce/2022-08/23/content_5722664.htm> ; 国家网信办等七部门 (2021). 关于加强网络直播规范管理工作的指导意见（国信办发文〔2021〕3 号，第 9 项）. <https://www.gov.cn/zhengce/zhengceku/2021-02/10/content_5586472.htm>

### 4. Servers placed in China must be registered; ISPs must hold a value-added telecom license
<!-- 成本标签: 钱=0 时间=中 毅力=否 收益=中 口径=自由 -->
- Cost: There is no fee for registration. It is submitted together with the server application at the service provider’s end, and usually takes several days to weeks to process. Checking whether a provider holds the required license takes just ten minutes.
- In plain terms: If you host a server inside China, you must register it before launching your website. Registration itself costs nothing and is handled alongside the server setup at your provider; it generally takes a few days to weeks. Failure to register results in a mandatory deadline to rectify the issue, followed by a fine of 10,000 RMB; continued non-compliance leads to site shutdown. Additionally, failing to display the registration number on your homepage incurs a penalty ranging from 5,000 to 50,000 RMB.
- Benefit: The regulation explicitly states: “Without prior registration, no entity may provide non-commercial internet information services within the People’s Republic of China.” This means even websites that do not charge users must register first if they are hosted domestically. Non-compliant sites face the same penalties: a deadline to rectify the issue and a 10,000 RMB fine, with persistent violations resulting in site closure. The same rules apply to your service provider: it is prohibited from offering internet access services to any organization or individual that has not completed registration or obtained the necessary license. The same restriction applies to payment processors. The regulation further clarifies that such providers cannot offer access or payment processing services to entities lacking either a valid license or proper registration. In other words, legitimate providers cannot host sites that lack both a license and registration. Moreover, data center hosting and cloud hosting services fall under the category of “Internet data center services” under the law, while broadband access is classified as “Internet access services”; both categories require a separate license from providers. Finally, sites that fail to display their registration number on their homepage must rectify the issue and face fines between 5,000 and 50,000 RMB nationwide.
- Evidence grade: A
- Notes: Before negotiating terms with a provider, verify first whether it holds the required license. Use the Ministry of Industry and Information Technology’s Telecom Services Market Comprehensive Management System at tsm.miit.gov.cn to check by company name or license number. For website registration status, consult beian.miit.gov.cn. If you choose a data center without the proper license, you will have no recourse in case of disputes. Hosting servers overseas does avoid the registration requirement, but if your users and revenue are based in China, you remain subject to all obligations outlined in sections 5 through 10 of this chapter, plus additional costs related to cross-border data transfers.
- Sources:信息产业部 (2005). 非经营性互联网信息服务备案管理办法（信产部令第 33 号，2024 年经工信部令第 68 号修订，第五、十三、十八、二十二条）. <https://www.miit.gov.cn/gyhxxhb/jgsj/cyzcyfgs/bmgz/xxtxl/art/2024/art_84a0cfa0ebd049bbbe751dca9a008e56.html> ; 工业和信息化部 (2017). 电信业务经营许可管理办法（工信部令第 42 号，第二十、二十四条）. <https://www.gov.cn/gongbao/content/2017/content_5240090.htm> ; 工业和信息化部 (2015). 电信业务分类目录（2015 年版，B11、B14、B21、B25）. <https://www.miit.gov.cn/zwgk/zcwj/wjfb/tg/art/2020/art_e98406cd89844f7e92ea1bcf3b5301e0.html>

### 5. Requiring sellers to join the platform means the platform must verify identities, register data, report information, and retain records for three years
<!-- 成本标签: 钱=0 时间=多 毅力=些 收益=大 口径=自由 -->
- Cost: No direct monetary cost. However, the platform must perform background checks on sellers’ qualifications and maintain a registration database. Tax-related information must be reported quarterly, while transaction data must be kept for at least three years. The main challenge is that this is an ongoing obligation rather than a one-time task.
- In plain terms: If you allow third parties to sell goods on your platform, you must first verify their identity, address, contact details, and business licenses, then add them to your registration records. After setting up these records, you must re-verify seller information at least every six months. You must also report seller details to market regulators and submit tax-related data quarterly. All product and transaction records must be retained for three years. Failure to comply with any of these requirements results in a mandatory rectification order; if ignored, fines ranging from 20,000 to 100,000 yuan apply.
- Benefit: Legal regulations set specific obligations for platforms. The official wording states that platforms must require sellers to provide authentic identity, address, contact, and licensing information, then verify and register this data while maintaining updated records. This means sellers must submit their basic details and required permits before joining, which you must then confirm and log into a database. Periodic re-verification is also mandatory. The exact interval for re-verification is defined as “at least every six months” under relevant administrative rules. Additionally, you must submit seller identity data to market regulators and tax authorities, as required by tax administration laws. All product, service, and transaction data must be retained for no less than three years from the date each transaction concludes. Non-compliance triggers a rectification order; persistent violations incur fines of 20,000–100,000 yuan, while severe cases may lead to temporary suspension of operations and fines of 100,000–500,000 yuan. Tax reports must be submitted within the month following each quarter’s end, with identical penalties for late submissions nationwide.
- Evidence grade: A
- Notes: Sellers themselves must also register as market entities. Certain exceptions apply: individuals selling self-produced agricultural or handmade goods, or providing small-scale services that do not require permits, are exempt. The threshold for “small-scale” activities is set at an annual transaction volume of 100,000 yuan under current online trade regulations. Platforms also bear two additional responsibilities: clearly marking registered versus unregistered sellers, and prohibiting the removal of consumer reviews.
- Sources:全国人大常委会 (2018). 电子商务法（第十、二十七、二十八、三十一、八十条）. <https://flk.npc.gov.cn/detail?id=2c909fdd678bf17901678bf8af050b81> ; 市场监管总局 (2021). 网络交易监督管理办法（市场监管总局令第 37 号，第八、二十四、二十五、三十一条）. <https://www.gov.cn/gongbao/content/2021/content_5602020.htm> ; 国务院 (2025). 互联网平台企业涉税信息报送规定（国务院令第 810 号，第二、三、四、十条）. <https://www.gov.cn/gongbao/2025/issue_12146/202507/content_7030983.html> ; 国家税务总局 (2025). 关于互联网平台企业报送涉税信息有关事项的公告（税务总局公告 2025 年第 15 号）. <https://www.gov.cn/zhengce/zhengceku/202506/content_7029727.htm>

### 6. You must regulate user-generated content: moderation mechanisms, reporting portals, and immediate takedown plus reporting of illegal material
<!-- 成本标签: 钱=少 时间=多 毅力=是 收益=大 口径=自由 -->
- Cost: It costs money to hire moderators — this is the platform’s biggest ongoing expense. Reporting portals and records of every moderation action must be kept. The real challenge is that this work needs constant oversight; even a single day without it can lead to serious problems.
- In plain terms: Platforms are legally responsible for any issues arising from user content. You must set up a full system: user registration, post and comment moderation, daily monitoring, and clear procedures for handling incidents. Place a prominent reporting link on your site. When illegal content is found, immediately stop its distribution, document everything, and report it to authorities. Failure to do so can result in fines ranging from 50,000 to 500,000 yuan, with even harsher penalties for serious violations.
- Benefit: Regulations require platforms to “fulfill primary responsibility for managing user-generated content.” This means platforms must regulate everything users post. Specific requirements include establishing rules for registration, account management, post and comment moderation, page management, real-time monitoring, emergency response, and handling of misinformation and illegal networks. Every step — from registration and posting to daily checks and incident response — must be clearly documented. Platforms must also provide an easily accessible reporting link in a highly visible spot. Upon spotting illegal content, they must “immediately take necessary actions, preserve records, and report to authorities” as mandated by the Cybersecurity Law. Non-compliance brings warnings, mandatory corrections, and fines up to 500,000 yuan; repeat or severe violations can lead to fines up to 2 million yuan, suspension of operations, website or app shutdowns, or even revocation of business licenses. Individuals directly responsible may also face fines of 50,000–200,000 yuan nationwide.
- Evidence grade: A
- Notes: You don’t need to invent moderation rules from scratch — just follow existing ones. Article 15 of the Internet Information Service Management Regulations explicitly lists nine categories of prohibited content. For live-streaming platforms, three extra obligations apply: they must set up a dedicated content moderation system, be able to instantly cut off any ongoing stream (“immediate blocking” per law), and retain both stream content and logs for at least 60 days. The same retention period applies to recorded online performances.
- Sources:国家互联网信息办公室 (2019). 网络信息内容生态治理规定（网信办令第 5 号，第八、九、十、十六、三十七条）. <http://www.cac.gov.cn/2019-12/20/c_1578375159509309.htm> ; 全国人大常委会 (2025). 网络安全法（2025 年修正，2026 年 1 月 1 日施行，第四十九、六十九条）. <https://www.cac.gov.cn/2025-12/29/c_1768735112911946.htm> ; 国务院 (2000). 互联网信息服务管理办法（第十五、十六、二十三条）. <https://www.gov.cn/gongbao/content/2011/content_1860864.htm>

### 7. Providing information publishing and instant messaging services requires users to provide authentic identity information
<!-- 成本标签: 钱=少 时间=中 毅力=否 收益=中 口径=自由 -->
- Cost: Implementing a real-name verification system involves paying per-use fees for the verification channel. The service should be designed under the principle of “real names stored in the backend, nicknames displayed to users” — meaning the actual name is kept on file while users can choose any nickname they prefer on the interface.
- In plain terms: If your website allows posting or chatting, you must collect users’ real identity details at sign-up. Those who refuse to provide such information cannot be allowed to use the service. The recommended approach is to store the real name in the backend and let users pick their own nickname; phone number verification is sufficient for this purpose. Failure to enforce real-name policies results in mandatory corrective orders. Persistent violations attract fines ranging from 50,000 to 500,000 yuan, and may even lead to site shutdowns.
- Benefit: The law explicitly states: “Internet service providers offering network access, domain registration, telephone services, or information publishing and instant messaging must demand authentic identity data from users at the time of agreement signing or service activation. Users who fail to supply such data cannot be granted service access.” Non-compliance — whether by neglecting to request real names or by knowingly allowing unverified users to join — triggers corrective orders. Serious or repeated breaches incur fines of 50,000–500,000 yuan, suspension of operations, mandatory business rectification, closure of websites or apps, and revocation of business licenses. Individual responsible parties face additional penalties of 10,000–100,000 yuan. Live streaming platforms must follow the same “backend real names, frontend nicknames” model, using mobile phone numbers for verification. For live commerce specifically, stricter rules apply: verification must rely on official identification documents and the unified social credit code — the unique identifier printed on every business license nationwide.
- Evidence grade: A
- Notes: The article numbering has been updated. The Cybersecurity Law was amended in 2025 and took effect on 1 January 2026. The real-name provisions moved from Article 24 to Article 26, while related penalties shifted from Article 61 to Article 64; the wording itself remains unchanged. Any existing documentation still referencing the old article numbers must be updated accordingly.
- Sources:全国人大常委会 (2025). 网络安全法（2025 年修正，2026 年 1 月 1 日施行，第二十六、六十四条；2016 年文本为第二十四、六十一条）. <https://www.cac.gov.cn/2025-12/29/c_1768735112911946.htm> ; 国家互联网信息办公室 (2016). 互联网直播服务管理规定（第十二、十六条）. <https://www.cac.gov.cn/2016-11/04/c_1119847629.htm> ; 国家网信办等七部门 (2021). 网络直播营销管理办法（试行）（国信办发文〔2021〕5 号，第八条）. <https://www.gov.cn/zhengce/zhengceku/2021-04/23/content_5601682.htm>

### 8. No live streaming accounts may be created for anyone under 16; tipping limits are set by age group
<!-- 成本标签: 钱=0 时间=中 毅力=否 收益=中 口径=自由 -->

- Cost: There are no direct costs. The process simply requires adding two extra steps during registration and payment: first verify the user’s age, then confirm that a guardian has given consent.

- In plain terms: People younger than 16 cannot sign up for a live streaming account on this platform. Those aged 16 or older must have their identity verified and must also obtain permission from a parent or other guardian. Tipping is restricted based on age: children under 8 are not allowed to tip at all; those aged 8–16 may tip only with guardian consent; and anyone over 16 may tip only with guardian consent or proof of income. If a minor spends money without a guardian’s approval, the guardian can request a refund, and a court is required to grant it. A total of 2020 such cases have been reported to date.

- Benefit: The law clearly states that “online live streaming service providers must not offer account registration services to minors under 16; when providing such services to minors aged 16 or older, they must verify their identity and obtain consent from a parent or other guardian.” It also mandates “a dynamic verification mechanism for the real identity information of live streamers,” meaning platforms must be able to recheck a streamer’s identity at any time. Additionally, platforms must “reasonably limit the maximum amount a minor may spend per transaction and per day,” establishing spending caps based on age. Tipping rules are similarly tiered: “Tipping services must not be offered to minors under 8; for those aged 8–16, consent from a guardian is required; for those over 16, consent or proof of income is required.” Finally, if a minor lacking full legal capacity spends money without guardian approval, a court must return those funds to the guardian. Minors lacking full legal capacity are defined as those who cannot make independent decisions under the law.

- Evidence grade: A

- Notes: In any dispute involving refunds, rulings must favor the minor. The wording of this policy has changed over time. In 2022, four government agencies and the National Radio and Television Administration both stated that minors were completely prohibited from tipping. However, a new notice issued in April 2026 introduced age-based limits at 8 and 16 years old, without explicitly revoking earlier rules or explaining how they relate. Therefore, the claim that “minors are entirely barred from tipping” is no longer accurate.
- Sources:全国人大常委会 (2020). 未成年人保护法（第七十四、七十六条）. <https://www.cac.gov.cn/2020-10/22/c_1604928959588622.htm> ; 国务院 (2023). 未成年人网络保护条例（国务院令第 766 号，第三十一、四十四条）. <https://www.gov.cn/gongbao/2023/issue_10806/202311/content_6913813.html> ; 中央网信办秘书局 (2026). 关于加强网络直播打赏规范管理的通知（第 7 项）. <https://www.cac.gov.cn/2026-04/13/c_1777815804150225.htm> ; 最高人民法院 (2020). 关于依法妥善审理涉新冠肺炎疫情民事案件若干问题的指导意见（二）（法发〔2020〕17 号，第九条）. <https://www.court.gov.cn/fabu/xiangqing/230181.html>

### 9. Respond promptly to infringement notices; restore content after 15 days if no response
<!-- 成本标签: 钱=0 时间=中 毅力=否 收益=中 口径=金钱 -->
- Cost: No cost involved. You must establish a fixed workflow: receive the notice, forward it to the seller, collect the seller’s defense arguments, and publicly disclose the final outcome. All steps must be documented.
- In plain terms: If someone sends you an infringement notice with preliminary evidence, you must promptly delete, block, or remove the relevant content and forward the notice to the seller. Failing to act in time means you and the seller will be jointly liable for any additional losses incurred. After receiving the seller’s defense, forward it to the claimant and wait 15 days. If the claimant files no complaint or lawsuit during this period, you can restore the content.
- Benefit: Rights holders are entitled to request e-commerce platforms to take necessary measures such as deleting, blocking, or removing links to infringing content, as well as terminating related transactions and services. Such notices must include preliminary evidence of infringement. Merely sending a generic statement is insufficient. Once a platform receives a valid notice, it must act promptly and forward the notice to the seller; failure to do so makes the platform jointly liable for any additional damages incurred. After a seller submits a defense, the platform must wait 15 days after forwarding the statement to the rights holder before lifting any measures, provided no complaint or lawsuit is filed. If a platform knows or should know of infringement yet fails to act, it will also bear joint liability with the seller. Regulatory authorities may also order the platform to make corrections within a set timeframe; failure to comply may result in fines ranging from 50,000 to 500,000 RMB for minor violations, and 500,000 to 2,000,000 RMB for serious cases. Conversely, if a party maliciously issues false notices causing losses to sellers, they must pay double the compensation owed (applies nationwide).
- Evidence grade: A
- Notes: If you operate a general website rather than a full e-commerce platform, you should follow the notice-and-takedown rules outlined in the Civil Code. The key difference lies in the waiting period after receiving a seller’s defense: the E-commerce Law specifies a mandatory 15-day window, while the Civil Code only requires a “reasonable timeframe.” Additionally, the E-commerce Law explicitly mandates that platforms disclose all received notices, seller defenses, and final resolutions to the public, as required under Article 44.
- Sources:全国人大常委会 (2018). 电子商务法（第四十二、四十三、四十四、四十五、八十四条）. <https://flk.npc.gov.cn/detail?id=2c909fdd678bf17901678bf8af050b81> ; 全国人大 (2020). 民法典（第一千一百九十五、一千一百九十六、一千一百九十七条）. <https://www.court.gov.cn/zixun/xiangqing/233181.html>

### 10. Personal information must not be casually transferred overseas; legal conditions and thresholds apply
<!-- 成本标签: 钱=0 时间=中 毅力=否 收益=中 口径=自由 -->

- Cost: No cost involved. The simplest solution is to keep user data within China. If transfer overseas is unavoidable, follow standard contracts or obtain proper certification.

- In plain terms: Transferring personal information of Chinese users to servers abroad constitutes a cross-border data transfer. Simply hosting servers overseas does not mean the data stays within China. There are four approved pathways for such transfers: a security assessment by the Cyberspace Administration, certification by authorized agencies, signing a standard contract, or compliance with other legal provisions. You must also disclose to users who receives their data, what it will be used for, and obtain their explicit consent for this specific purpose.

- Benefit: To lawfully provide personal information to overseas entities — whether to foreign companies or foreign servers — at least one of four conditions must be met: passing a security assessment by the Cyberspace Administration; obtaining personal information protection certification; signing a standard contract drafted by the Cyberspace Administration; or meeting other requirements set by laws or administrative regulations. Additionally, you must inform users of the overseas recipient’s name, contact details, processing purpose, methods, and types of data involved, and obtain their separate consent. Threshold limits apply based on cumulative user counts. For most businesses not classified as critical information infrastructure operators, the exemption threshold is “fewer than 100,000 personal records (excluding sensitive information) transferred overseas in a calendar year.” Below this threshold, no assessment, contract, or certification is required. Between 100,000 and 1,000,000 records, a standard contract or certification is mandatory. For over 1,000,000 records, or when sensitive information of more than 10,000 individuals is involved, a formal security assessment is required (effective nationwide since March 2024).

- Evidence grade: A

- Notes: Hosting servers overseas does not equate to “data never leaving China.” If a user registers within China and their data is sent to foreign servers, this is still a cross-border transfer. Certain scenarios are exempt from assessment, certification, or standard contracts: cross-border shopping, shipping, or booking flights/hotels, provided these actions are necessary to fulfill a contract involving the user. Note also that user counts are calculated on a cumulative basis starting from January 1 of each year, not as a rolling 12-month period.
- Sources:全国人大常委会 (2021). 个人信息保护法（第三十八、三十九、四十条）. <https://www.spp.gov.cn/spp/fl/202108/t20210820_527244.shtml> ; 国家互联网信息办公室 (2024). 促进和规范数据跨境流动规定（网信办令第 16 号，第三、四、五、七、八条）. <https://www.gov.cn/gongbao/2024/issue_11366/202405/content_6954192.html> ; 国家互联网信息办公室 (2022). 数据出境安全评估办法（网信办令第 11 号，第四条）. <https://www.cac.gov.cn/2022-07/07/c_1658811536396503.htm>

### 11. When picking a server, first consider how much downtime you can tolerate, then check whether there’s any support available, and only then compare prices
<!-- 成本标签: 钱=少 时间=中 毅力=否 收益=中 口径=金钱 -->

- Cost: Cloud instances from major providers typically cost several hundred to several thousand yuan per month. VPS plans from smaller vendors start at just a few dozen yuan per month. A VPS is essentially a virtual mini‑server. Dedicated server hosting starts at several thousand yuan per year, and you must also purchase the hardware yourself.

- In plain terms: The main difference among these three options isn’t price — it’s what resources you’ll have at hand when something goes wrong. Big providers offer registration pathways, publish their credentials, issue outage notices, and include compensation clauses in their contracts, so help is readily available. Smaller vendors may charge half as much, but they often over‑sell capacity, disappear without notice, or get cut off by upstream providers; in such cases you won’t know who to turn to. For static websites that contain no user data, a cheap VPS costing just a few dozen yuan is perfectly adequate.

- Benefit: Again, the key distinction isn’t price but the support you can rely on during an emergency. Major cloud providers provide registration channels, disclose their qualifications, announce any outages, and guarantee compensation under their contracts, ensuring you can get assistance when needed. Smaller vendors can offer prices roughly half of those rates, yet when they over‑sell resources, shut down unexpectedly, or lose upstream connectivity, you have no recourse. Therefore, before negotiating a price, verify whether the vendor holds a valid value‑added telecommunications license via the Ministry of Industry and Information Technology database. Dedicated server hosting only makes sense if two conditions are met: the bandwidth or hardware costs are noticeably lower, and you have in‑house staff capable of managing the server. For static sites without user data, the cheapest VPS is sufficient; for sites that handle user registrations and transactions, choose a cloud instance that offers elastic scaling and snapshot backups, and store those backups in at least two separate locations.

- Evidence grade: C

- Notes: This entry is a guideline rather than a piece of evidence. The only verifiable item within it is the vendor’s licensing status. To save money, cut costs on configuration and bandwidth rather than on ensuring proper licensing.
- Sources:作者经验，无直接文献；服务商资质与备案的法定要求见本节第 4 条，日志留存 6 个月和等级保护义务见第 11 节第 16 条
