The People’s Bank of China (PBOC) has launched a coordinated effort to regulate cryptocurrencies, focusing particularly on stablecoins due to their potential for illicit activities. The PBOC, working with 13 government departments, held a meeting in Beijing on November 28, 2025, emphasizing its ongoing crackdown on virtual currency trading and speculation. This strategic shift is aimed at strengthening regulatory oversight through comprehensive enforcement measures.
The focus will be on stablecoin regulation due to concerns about money laundering, fraud, and cross-border flows. The PBOC aims to implement a sophisticated technological monitoring system to track information and capital flow, intensifying its efforts beyond earlier actions. This move reflects China’s commitment to ensuring financial compliance through technology-driven strategies.
The meeting signals the continued crackdown on cryptocurrencies in China. The PBOC emphasizes that virtual currencies lack the legal status of fiat currency and cannot be used as legal tender. Notably, recent regulatory measures have impacted stablecoin usage, leading to a decrease in Bitcoin’s price by 8%, according to CoinMarketCap data.
Experts anticipate further tightening measures from China. They suggest these stricter regulations could create a more controlled financial environment with increased international collaboration and localized control over cryptocurrencies.
Disclaimer: This article does not constitute investment advice.