I would rather disagree. I think this has two sides of the coin.
1) With only Chinese players would be like me competing against Aksel Lund Svindal on the ski slope .... So embarrasment and something that IOC would not allow.
2) China wanted their team so IOC and China needed to compromise both...... IOC said you have a bit competitive team, we will let you play..... What better option you have than put up Kunlun together? Players are offered freaking crazy money (as China is not afraid of wasting it) and they are offered dual citizenship, like generally nobody else is allowed to have.
Generally, I am not saying it is 100% right thing to do. Of course, if China wanted to be free of these things, they would just easily drop it and gave the place to or depending when they would give it up. But they don't want to lose the face in front of their home crowds ...... So in this case from IOC and China sides, it is a win-win situation. Just IIHF felt a bit weird about it and and felt kinda betrayed, especially Norwegian team as I guess they think that their Olympic spot has been stolen ..... national team so far did not achieve something that team did 4 years ago before the Pyeongchang Olympics. But at least they got a more competitive team ..... Whether it was the right decision? We will in few weeks and it will also an interesting sign for IOC how to handle this situation in the future ....