On November 28, 2025, China reaffirmed its total ban on cryptocurrencies, citing increased speculation and financial risks. However, between repression and contradictions, the country remains a key player in the crypto ecosystem, despite its prohibitions.
In brief
- China reaffirms the illegality of cryptos and stablecoins and cites risks for economic stability.
- Despite the crackdown, the country benefited from $3.2 million in crypto donations for Hong Kong.
- Former leader in Bitcoin mining, China's strict policy could weigh on the price of BTC.
China reaffirms its crypto ban
This November 28, the People's Bank of China (PBC) brought together 13 government agencies to reiterate the ban on cryptos and stablecoins. As of 2021, these assets are considered illegal, without legal status equivalent to legal tender. The meeting aimed to strengthen the fight against speculation, money laundering and illegal capital transfers.
Stablecoins, often backed by traditional currencies, have been singled out for their inability to meet compliance standards. The PBC emphasized their potential to circumvent capital controls, thereby threatening the country's financial stability. This meeting marks new step in China’s crypto crackdownconfirming that the country will not tolerate any deviation from its strict financial policy.
China bans cryptos, but receives $3.2 million for Hong Kong
While China firmly bans cryptocurrencies, a paradoxical situation emerged after the devastating fire in Hong Kong. The crypto industry mobilized to collect $3.2 million in crypto, intended for disaster victims. These donations, although legal in Hong Kong, raise questions about the consistency of Chinese policy. There ” resurgence of speculation » mentioned by the PBC could it include these fundraisers? Or is this a one-off tolerance for humanitarian reasons?
Hong Kong, as a special administrative region, enjoys a separate status, allowing for some regulatory flexibility. However, this situation highlights the tensions between continental repression and local economic realities. This contradiction illustrates the challenges facing China: how to reconcile a strict ban on crypto with their inevitable use in specific contexts?
China, former pillar of Bitcoin mining: what impact on BTC?
Before 2021, China dominated Bitcoin mining with more than 65% of the global hashrate. Despite the exodus of miners after the ban, it remains third in 2025, thanks to clandestine operations and its industrial heritage, proving a persistent influence in the ecosystem. With increased repression, could BTC suffer additional pressure on its price?
Chinese investors, although forced to circumvent restrictions, remain major players in the crypto market. Intensified controls could lead to massive sell-offs, causing a short-term decline. However, bitcoin, decentralized by nature, could continue to thrive outside of China's borders. In the long term, the resilience of BTC will mainly depend on its ability to adapt to an increasingly hostile regulatory environment.
China maintains an inflexible stance on cryptocurrencies, while tolerating their use in exceptional cases. This duality raises questions about the future of cryptos in Asia and their impact on the global market. In your opinion, will China eventually reconsider its position, or will this repression mark a lasting turning point?
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