Cryptocurrency Risks in China

When we talk about cryptocurrency risks in China, the unique combination of government control, financial censorship, and market suppression that defines China’s stance on digital assets. Also known as Chinese crypto regulations, it’s not just about banning Bitcoin—it’s about replacing it entirely with the digital yuan, China’s state-controlled central bank digital currency designed to monitor every transaction.

The China cryptocurrency ban, a sweeping policy rolled out in 2021 that shut down mining operations, closed exchanges, and blocked access to foreign platforms didn’t just scare investors. It forced millions to go underground. P2P trading surged as people used WeChat and Alipay to swap crypto for cash, often at huge premiums. Mining farms in Sichuan and Inner Mongolia were torn down overnight. The crypto mining ban, the most aggressive part of the crackdown, wiped out over 70% of global Bitcoin mining power in months. And while some thought this would kill crypto, it just moved the risk—now you’re not just fighting market volatility, you’re fighting legal exposure.

Today, the crypto exchange crackdown, the systematic shutdown of Binance, Huobi, and OKX operations inside China still echoes. Even if you’re trading from abroad, if you’re a Chinese citizen, you’re still at risk. Banks freeze accounts linked to crypto activity. Wallets get flagged. Friends get questioned. The cryptocurrency risks in China aren’t just about losing money—they’re about losing freedom. That’s why posts here cover everything from how P2P traders in Bangladesh bypass similar bans, to why platforms like TaurusEX and CoinRui vanished overnight. You’ll see how fake airdrops like WHX and ZeroHybrid Network thrive in the shadows of these crackdowns. And you’ll learn why the digital yuan isn’t crypto—it’s the opposite. This collection doesn’t just explain what happened. It shows you how to spot the next wave of risk before it hits.