False reports are circulating claiming that China has issued a new ban on cryptocurrency.
Some accounts are spreading rumors that China has banned cryptocurrencies again, without any evidence. These claims lack any official statement or legal text. They rely solely on hearsay.
According to Bitcoin Junkies, China has not made any recent announcements regarding crypto regulations. China imposed its last major restrictions in September 2021, targeting mining and exchange activities. That policy remains unchanged. No fresh edicts or directives have emerged from Beijing in 2025.
🚨 WARNING: False reports are circulating claiming that China has issued a new ban on cryptocurrency.
China has not made any recent announcements regarding crypto regulations. China banned Bitcoin and other cryptocurrencies back in 2021, and that policy remains unchanged. pic.twitter.com/6jiasBWEea
— Bitcoin Junkies (@BTCjunkies) August 3, 2025
Bitcoin trades at $114,071 USD, with a live market cap of $2.27 trillion. It sees $53.98 billion in 24-hour volume and holds the #1 spot on CoinMarketCap. This positions Bitcoin as the leading digital asset, far ahead of competitors in liquidity and adoption.
The four key facts you need to know:
Hong Kong as a pilot zone embraces crypto. Hong Kong has launched initiatives to attract exchanges and token issuers. Its regulators have rolled out a licensing regime for spot trading platforms.
China never banned individual crypto transactions. Private peer-to-peer transfers remain legal. Only institutional participants, banks, payment firms, and funds are prohibited from offering crypto services.
Bitcoin mining still occurs in China. Many miners displaced in 2021 shifted abroad, but some resumed operations in regions with looser enforcement. Estimates suggest China still accounts for around 15% of global hash rate.
Stablecoins and RWAs gain traction among officials. Chinese authorities explore tokenized real-world assets and regulated stablecoins for on-chain use cases. Pilot programs in Guangdong and Shanghai test asset-backed instruments.
What Beijing’s 2021 Ban Covered
- Exchange closures. All domestic crypto trading platforms were ordered to cease operations.
- Mining shut-down. Major mining provinces rescinded power allocations for crypto-heavy users.
- Financial institutions barred. Banks and payment providers were forbidden from clearing crypto transactions.
That framework persists today. No new clauses have been introduced. No new fines have been announced.
Hong Kong SAR operates under a separate legal system. It launched its new crypto licensing regime in June 2024. The Securities and Futures Commission now issues licenses to spot exchanges and custodians. This makes Hong Kong one of Asia’s most crypto-friendly jurisdictions. Its pilot zone model aims to draw talent, capital, and blockchain projects away from Silicon Valley and Dubai.
On-chain Reality Shows China’s Strong Belief
Despite official bans, Chinese nationals still hold and transact crypto. Peer-to-peer OTC desks thrive on messaging apps. VPN-enabled access to foreign exchanges remains common. On-chain data shows persistent activity. Bitcoin’s on-chain transfer volume averages over $20 billion daily, with a sizeable share originating from IPs linked to China.
Further Considerations
China continues to explore digital currency with its central bank digital currency (e-CNY). That project does not equate to an outright ban on all private crypto. Instead, it reflects a desire to maintain monetary sovereignty and clamp down on illicit finance. As regulators study tokenized stocks, bonds, and commodities, China may issue further guidelines on real-world assets (RWAs) and stablecoins. These moves will shape the next phase of blockchain adoption on the mainland.
In sum, the rumor of a fresh China crypto ban is just that, a rumor. China’s 2021 restrictions remain in force. No new prohibitions have been introduced. Meanwhile, Hong Kong forges ahead with open-market policies, and private transactions continue on Chinese-controlled networks. The crypto community can rest easy: nothing new has changed in Beijing’s rulebook.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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Source: https://nulltx.com/did-china-ban-cryptocurrency-what-the-story-is-really-about/