August 05, 2025
By Anjali Kochhar
Rumours spread like wildfire across Chinese social media this week, claiming that the government was preparing to impose a fresh ban on cryptocurrencies. But before panic could take over the digital asset community, multiple Chinese officials stepped forward to deny the claims, calling them “baseless” and “misleading.”
The speculation started after screenshots of supposed government notices began circulating on Weibo and WeChat. These images suggested that the Chinese government was planning to ban access to all overseas crypto trading platforms and impose tighter surveillance on blockchain developers. The posts triggered concern among retail investors and crypto firms operating in Hong Kong’s relatively open market.
In response, several government-related media outlets and officials swiftly acted to refute the claims. A spokesperson from the Cyberspace Administration of China clarified that no new crypto-related policy had been issued and that the circulating screenshots were fabricated. This dismissal was echoed by other state-affiliated voices, emphasising that China’s stance on cryptocurrencies while restrictive remains unchanged since the comprehensive ban on crypto trading and mining in 2021.
Despite that ban, China has not outlawed blockchain technology itself. In fact, the country has been actively exploring Central Bank Digital Currency (CBDC) development and expanding its Digital Yuan trials across provinces. The officials reiterated that innovation in blockchain remains a priority under the country’s “digital economy” initiative, and that the rumours were likely aimed at creating fear and uncertainty in the market.
Crypto market observers believe that the timing of these rumours was not accidental. They emerged just days after Hong Kong announced a review of its digital asset framework and approved more retail-friendly crypto services. Some speculate that these rumours may have been planted by groups attempting to manipulate sentiment or disrupt progress in the region’s growing Web3 ecosystem.
Notably, the Chinese crypto community has found a way to adapt despite national restrictions. Users often access international platforms via VPNs and engage in decentralised finance (DeFi) protocols using non-custodial wallets. The continued development of blockchain-based services in Hong Kong has also provided a parallel track for compliant innovation, allowing companies to build within a regulated sandbox.
As misinformation spreads faster than truth in the age of instant content, this episode is a reminder of how critical it is to verify sources before reacting to sensational headlines. China’s dismissal of the ban rumours may not signal a policy shift, but it shows that the crypto conversation there is far from over.
About the author
Anjali Kochhar covers cryptocurrency and blockchain stories in India as well as globally. Having been in the field of media and journalism for over four years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.
