Editor's Note: A previous version of this assessment incorrectly stated that the STAR Market's registration-based IPO system allows pre-profit companies to list. It has been updated accordingly. The STAR Market, China's equivalent to a tech-focused Nasdaq, is fueling growth in China's tech sector, but Beijing's regulation and fears of both domestic speculation and industry bubbles will constrain the exchange's potential for growth. A recent string of launches is demonstrating the STAR Market's potential power to raise capital and draw investment into the Chinese technology sector : China's Semiconductor Manufacturing International Corporation (SMIC) raised $6.62 billion and surged 246 percent on its first day of trading on the STAR Market on July 16 — the largest mainland listing since 2010.