Digital Currency Regulatory Environment in Mainland China
Since September 2021, ten departments, including the People's Bank of China (PBOC), jointly issued a notice clarifying that virtual currency-related business activities are illegal financial activities and emphasizing that overseas virtual currency exchanges providing services to Chinese residents via the internet are also prohibited. Since then, the Chinese government has continuously strengthened its regulation.
On May 31, 2025, China officially implemented a comprehensive ban on cryptocurrency trading and mining, covering major cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH). This move caused a shock in the global crypto market. On February 6, 2026, eight departments, including the People's Bank of China (PBOC), jointly issued another document, reiterating that all virtual currency-related business activities are strictly prohibited in China. Furthermore, starting from September 30, 2026, China will also fully ban online promotion of cryptocurrencies, classifying these activities as illegal financial activities and imposing severe penalties for violations.
This means that there are no legally operating digital currency trading platforms within mainland China. Any virtual currency-related business activities carried out domestically are suspected of being illegal financial activities, are strictly prohibited, and will be shut down according to law. The Chinese government warns that any domestic personnel who assist overseas institutions in operating or providing marketing promotion and technical support will be held accountable according to law.
Parallel Development of Digital Yuan
In contrast to the strict restrictions on decentralized cryptocurrencies, China is actively promoting the research, development, and application of its central bank digital currency—the Digital Yuan (DCEP). As of the end of June 2024, the cumulative transaction amount of the Digital Yuan nationwide has reached 7 trillion yuan, and the pilot areas continue to expand. As legal tender, the Digital Yuan aims to improve payment efficiency, reduce transaction costs, and strengthen control over financial flows.
Overview of Global Mainstream Digital Currency Trading Platforms
Despite strict prohibitions in mainland China, numerous mainstream digital currency trading platforms worldwide continue to provide services to international users. It must be emphasized that mainland Chinese residents using overseas platforms for virtual currency transactions face serious legal risks, potentially incurring criminal liability, and the security and compliance of funds traded on overseas platforms are not protected by Chinese law. Before trading, users can check the latest prices and project information on market platforms such as Svmuu and must comply with the laws and regulations of their jurisdiction.
Below is a list of some global mainstream digital currency trading platforms ranked based on factors such as global trading volume, liquidity, asset coverage, and compliance:
- Binance (Binance): One of the world's most renowned cryptocurrency exchanges, supporting hundreds of currency pairs and offering diverse services such as spot and contract trading.
- OKX (OKX): Established in 2017, it offers a diverse product matrix including coin-to-coin trading, margin trading, options/delivery/perpetual contract, and DEX trading.
- Bitget: As a global cryptocurrency trading platform, it has a certain influence in the derivatives trading field.
- HTX (HTX): Licensed to operate in Singapore, it provides a wide range of fiat currency channels, adapting to trading needs in the Asian region.
- Bybit: Known for its contract trading system and liquidity, attracting many professional traders.
- Gate.io: Relatively active in the emerging asset sector, supporting various crypto asset transactions.
- KuCoin: One of the earliest exchanges to enter the crypto market, with a wide international user base.
- Kraken: Founded in 2011, it is one of the earliest crypto exchanges in the industry, offering multi-currency trading and fiat currency deposit channels.
- Bitfinex: Focuses on providing services for professional-level users and institutional investors.
- Coinbase: Founded in 2012, it is one of the well-known cryptocurrency exchanges in the United States, serving over 100 countries.
Trading Methods and Risk Warnings
For some users in mainland China who attempt to trade through overseas platforms, they typically use P2P (peer-to-peer) trading functions to convert RMB into stablecoins like USDT for deposits, and then proceed with other cryptocurrency transactions; for withdrawals, they sell USDT via P2P to cash out into RMB. However, such behavior in mainland China faces significant legal risks, potentially being deemed an illegal financial activity, and incurring corresponding legal liabilities. The Chinese government is continuously intensifying its crackdown on virtual currency-related business activities, and users should fully recognize the potential risks and strictly comply with local laws and regulations.
