PBOC Reinforces Crackdown on Virtual Currencies and Stablecoins
The People’s Bank of China on November 28 convened a coordination meeting with the Ministry of Public Security, the Cyberspace Administration and key financial regulators to restate its hardline stance: cryptocurrency-related operations and stablecoin activities remain illegal and present major financial risks. Officials emphasized unified enforcement and tighter oversight to curb financial crime, protect investors and limit systemic exposure.
For market participants, the announcement underscores continued legal and operational uncertainty for domestic crypto firms, exchanges and stablecoin issuers, and increases the likelihood that activity will move offshore. Investors and global firms should expect heightened compliance pressure and watch for follow-up enforcement or guidance that could affect liquidity, product availability and cross-border crypto services.