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China Reasserts Crypto Ban as Central Bank Speeds Digital Yuan Expansion

Beijing signals preference for state-led digital payments over privately issued tokens.

Overview

  • PBOC Governor Pan Gongsheng said existing curbs on crypto trading and mining remain in force and pledged coordinated enforcement with law enforcement agencies.
  • Pan warned that stablecoins do not meet basic requirements such as customer identification and anti–money laundering, posing financial stability risks and pressuring monetary sovereignty in some economies.
  • The central bank said it will closely monitor and dynamically assess overseas stablecoin developments as neighboring markets roll out regulated products.
  • The e‑CNY program will widen with additional commercial banks joining as operational partners after years of pilots building a broad usage ecosystem.
  • New infrastructure includes an international operations center in Shanghai for cross‑border transactions and a management hub in Beijing to oversee development, according to reports citing the central bank.