Recent revelations challenge the widely held belief that China has enforced a blanket ban on cryptocurrencies, shedding light on a more intricate regulatory landscape. Despite crackdowns on financial institutions’ involvement with Bitcoin in 2013 and the ban on initial coin offerings (ICOs) in 2017, China’s stance on cryptocurrency is nuanced.
While China’s regulations have tightened over the years, particularly with the 2021 crackdown on Bitcoin, there are noticeable gaps in the restrictions. Individuals are not legally prohibited from holding or trading crypto, although their actions may lack legal protection. The ban on virtual currency exchanges operating openly in China has led to creative workarounds, including peer-to-peer trading and utilizing overseas exchanges. (Source: coinepedia)
