This jurisdiction has banned or severely restricted cryptocurrency activities. Operating in this market carries significant legal and regulatory risks.
China Cryptocurrency Regulatory Overview
China maintains one of the world's strictest cryptocurrency bans. In December 2025, the People's Bank of China doubled down on its prohibition after detecting renewed speculation in virtual assets. All cryptocurrency trading, mining, and ICO activities are banned. The government shut down all domestic exchanges in 2017 and continues to enforce strict penalties for crypto-related activities. Despite the ban, China is actively developing its own Central Bank Digital Currency (e-CBDC), the digital yuan, as part of its financial modernization strategy. The government views cryptocurrencies as threats to financial stability and capital controls.
China Blockchain Compliance Requirements
Legal Status: Completely banned for all activities. Trading: All exchanges shut down since 2017. Mining: Banned nationwide; miners forced to relocate. ICOs: Prohibited since 2017. Penalties: Criminal prosecution for facilitating crypto transactions. CBDC: Digital yuan (e-CNY) actively deployed as state-controlled alternative. Enforcement: Continuous monitoring and crackdowns on crypto activity. International Transactions: Prohibited for Chinese residents. Banking: Financial institutions forbidden from crypto services. Rationale: Capital control preservation, financial stability, prevention of money laundering.
AML/CFT compliance is not applicable due to prohibitions on crypto activities.
Strict enforcement of prohibitions. Penalties for non-compliance can be severe.
Disclaimer: This information is provided for general guidance only and should not be considered legal advice. Regulations change frequently. Always consult with qualified legal professionals in the relevant jurisdiction before making business decisions.