Regulatory Status of Cryptocurrency Trading in Mainland China
Since September 2021, Mainland China has significantly tightened its regulatory policies on virtual currencies. Ten government departments, including the People's Bank of China (PBOC), jointly issued a notice explicitly classifying all virtual currency-related business activities as illegal financial activities and demanding their suppression in accordance with the law. This includes fiat-to-virtual currency exchange, virtual currency-to-virtual currency exchange, acting as a central counterparty for virtual currency trading, providing information intermediary and pricing services, token issuance financing, and virtual currency-related financial product trading.
It is noteworthy that overseas virtual currency exchanges providing services to residents within China via the internet are also deemed illegal financial activities, and relevant authorities will strengthen monitoring and pursue accountability. Furthermore, virtual currency "mining" activities have been classified as an industry to be eliminated and are subject to ongoing rectification. As of the time of publication, Mainland China's regulatory authorities have continuously reiterated and strengthened this comprehensive prohibition policy in 2025 and 2026, explicitly stating that overseas entities and individuals are not allowed to illegally provide virtual currency-related services to domestic entities in any form.
For residents of Mainland China, while some argue that personal holding or trading of cryptocurrencies itself is not illegal, these activities are not protected by law, and any business activities related to virtual currencies face criminal legal risks, potentially constituting crimes such as illegal absorption of public deposits, illegal fundraising, or fraud. Banks and payment platforms (such as Alipay and WeChat Pay) also monitor and block crypto-related transactions. Therefore, in Mainland China, there are no officially recognized "legitimate" cryptocurrency trading platforms.
Major cryptocurrency trading platforms that historically operated in Mainland China, such as HTX, OKEx (now OKX), and Binance, shifted their business focus overseas and announced their withdrawal from the Mainland Chinese market after regulatory tightening in 2017.
Overview of Major Global Cryptocurrency Trading Platforms
Despite the prohibition of cryptocurrency trading platform operations in Mainland China, many large trading platforms remain active globally. While these platforms are not officially recognized as "legitimate trading platforms" by Mainland China, they are major participants in the global market based on public metrics such as trading volume. Below are some of the mainstream global platforms ranked by trading volume (data changes over time and is for reference only):
- Binance: Long considered the world's largest cryptocurrency exchange, holding a significant market share among CEXs.
- Coinbase: Founded in 2012, it is one of the largest cryptocurrency exchanges in the United States, serving over 100 countries.
- OKX: Formerly well-known to Mainland Chinese users, it later shifted to the international market and is one of the leading global cryptocurrency trading platforms.
- Kraken: A globally renowned cryptocurrency exchange known for its security and compliance.
- KuCoin: Another global cryptocurrency exchange offering a variety of crypto asset trading services.
- HTX: Formerly a major exchange in Mainland China, it later withdrew from the Mainland Chinese market and focused on international business.
- Bitfinex: An early participant in the crypto industry, focusing on providing services to professional users and institutional investors.
- Bithumb: One of the major cryptocurrency exchanges in South Korea.
- Crypto.com Exchange: Also an active global cryptocurrency trading platform, offering spot and derivatives trading.
The rankings and data for these platforms are typically provided by third-party data platforms such as CoinMarketCap, CoinCarp, and CoinStats, based on traffic, liquidity, trading volume, and confidence in the reasonableness of reported trading volumes.
Comparison of International Regulatory Trends
In contrast to Mainland China's "total prohibition model," major Western countries (such as the United States and the European Union) tend towards a "regulatory inclusive model." These countries regulate crypto assets like stablecoins through legislative frameworks (such as the GENIUS Act in the US and MiCA regulations in the EU), aiming to foster innovation, protect consumers, and strengthen the international standing of their national currencies. This differentiated regulatory approach reflects varying considerations among countries in balancing financial risks, technological innovation, and national interests.
