China Justice Observer


EnglishArabicChinese (Simplified)DutchFrenchGermanHindiItalianJapaneseKoreanPortugueseRussianSpanishSwedishHebrewIndonesianVietnameseThaiTurkishMalay

China to Prevent Speculation Risks in Virtual Currency Trading

Thu, 21 Oct 2021
Categories: China Legal Trends

In September 2021, the Supreme People's Court, the Supreme People's Procuratorate, the People's Bank of China and other seven authorities issued the “Notice on Further Preventing and Disposing of Speculation Risks in Virtual Currency Trading” (hereinafter “the Notice”, 关于进一步防范和处置虚拟货币交易炒作风险的通知).

The Notice reiterates that virtual currencies issued by non-monetary authorities that use encryption technologies, distributed accounts or similar technologies and exist in digital forms, such as Bitcoin and Ether, including so-called stable coins like Tether, do not have the same legal status as legal tender and cannot circulate in the market. Virtual-currency-related services including virtual currency exchange, trading virtual currencies as central counterparties, providing matchmaking services for virtual currency transactions, token fundraising, and virtual currency derivatives trading are defined as illegal financial activities. It is also illegal for overseas virtual currency exchanges to provide services to residents in China through the Internet.



Cover Photo by yuru cao ( on Unsplash

Contributors: CJO Staff Contributors Team

Save as PDF

You might also like

SPC Publishes Typical Cases on Public Security Crimes

In April 2024, China's Supreme People's Court (SPC) released five typical cases illustrating crimes against public security, emphasizing clarifications on trial criteria and sentencing principles, featuring a case involving serious injuries from objects thrown off a high-rise building.

Beijing Court Upholds Workers' Right to Offline Rest

The Beijing No. 3 Intermediate People's Court ruled that workers are entitled to overtime pay for “invisible overtime work” conducted via social media outside of working hours, protecting their right to “offline rest”.

China Revises State Secrets Protection Law

China’s national legislature, the National People’s Congress, revised the State Secrets Protection Law to enhance information classification, secrecy in technological innovation, and precise protection of state secrets, effective May 1, 2024.