China reaffirms crypto ban after noticing ‘speculation has resurfaced’

The People’s Bank of China reasserted the country’s crypto ban, claiming trading had reemerged and vowed to crack down on stablecoins.

China’s central bank has flagged stablecoins as a risk and has promised to refresh its crackdown on crypto trading, which it has banned since 2021.

The People’s Bank of China said on Saturday, after a meeting with 12 other agencies, that “virtual currency speculation has resurfaced” due to various factors, posing new challenges for risk control. 

“Virtual currencies do not have the same legal status as fiat currencies, lack legal tender status, and should not and cannot be used as currency in the market,” the bank said, according to a translation of its statement. 

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