Regulatory Status of Virtual Currency Trading Platforms in Mainland China
Since February 6, 2026, the "Notice on Further Preventing and Disposing of Risks Related to Virtual Currencies and Other Matters," jointly issued by eight departments including the People's Bank of China (PBOC) and the National Development and Reform Commission, explicitly states that virtual currency-related business activities are illegal financial activities and are strictly prohibited and resolutely banned in China in accordance with the law. This includes, but is not limited to, exchanges between fiat currency and virtual currency, exchanges between virtual currencies, buying and selling virtual currencies as a central counterparty, providing information intermediary and pricing services, token issuance financing, and virtual currency-related financial product transactions.
It is worth noting that although the Shanghai Songjiang Court ruled in November 2024 that cryptocurrencies are recognized as "virtual property" under Chinese law and that personal ownership is protected by law, all commercial operational activities related to cryptocurrencies, including operating exchanges, providing trading services, and large-scale mining, are considered illegal financial activities. Furthermore, China explicitly prohibits overseas exchanges from providing online services to mainland Chinese residents.
For example, HTX (formerly HTX Huobi), which was once established in China, had its virtual currency-related businesses in China prohibited after relocating its headquarters to Singapore.
Overseas Trading Platforms and Compliance Risks
Given China's strict regulatory policies, any platform that claims or implies it can legally provide virtual currency trading services within China is contrary to existing regulations. Mainland Chinese users typically need to use a VPN to access overseas exchange domains and may face legal risks and financial security risks such as bank card freezes.
There are several well-known virtual currency trading platforms globally, primarily serving international markets outside mainland China. These platforms include:
- Binance: As one of the world's largest cryptocurrency exchanges, it offers various services such as spot and futures trading, supporting hundreds of cryptocurrencies. As of August 2026, its 24-hour trading volume was approximately $33 billion.
- OKX: Established in 2017, it offers diverse products such as coin-to-coin, margin, futures, DEX trading, and DeFi mining. As of August 2026, its 24-hour trading volume was approximately $15 billion.
- Coinbase: Established in 2012, it is one of the largest cryptocurrency exchanges in the United States, serving over 100 countries.
- Bybit: Established in 2018, it offers spot, margin, perpetual and delivery futures, and options trading. As of August 2026, its 24-hour trading volume was approximately $9 billion.
- Bitget: Established in 2018, it provides cryptocurrency trading, copy trading, and margin trading services.
- Gate.io: Supports Bitcoin, Ethereum, and various crypto asset transactions.
- KuCoin: Established in 2017, it supports various virtual currencies, futures trading, and other services.
- MEXC: Offers nearly 3,000 cryptocurrencies with low trading fees.
It must be emphasized that none of the aforementioned overseas platforms legally provide trading services directly within China. Some platforms may attempt to accept identity verification from mainland Chinese users during specific periods, but users still need to assess whether the laws and regulations of their location permit the use of such services and bear the corresponding compliance and financial risks. Before engaging in any transactions, it is recommended that users verify the latest prices and project information on professional market information platforms such as Svmuu and fully understand the relevant risks.
Stablecoin Regulation and User Risk Warning
The People's Bank of China (PBOC) and other departments have listed stablecoins as a new enforcement priority in November 2025. Without the consent of relevant departments, no domestic or overseas entity or individual may issue stablecoins pegged to the RMB overseas. For mainland Chinese users, engaging in C2C (peer-to-peer) transactions through overseas platforms to buy and sell stablecoins like USDT using RMB, although relatively common among some users, still operates in a legal gray area and carries serious risks such as bank card freezes. Therefore, residents of mainland China should strictly abide by local laws and regulations and avoid participating in any form of virtual currency trading activities to prevent potential legal and property loss risks.
