China has banned cryptocurrency trading, mining, and speculation activities as per the Joint Notice on Further Preventing and Dealing with Risks of Virtual Currency Trading and Speculation (September 2021). The People's Bank of China enforces strict prohibitions on crypto activities.
| Status | Banned |
| Risk Score | 70/100 (High Risk) |
| Region | asia pacific |
| Currency | CNY |
| Capital Gains (Personal) | N/A - crypto trading banned since September 2021 |
| Capital Gains (Corporate) | N/A - all crypto business activities prohibited |
| VAT on Crypto | No |
| Staking Tax | N/A |
| Airdrop Tax | N/A |
No crypto-specific tax guidance available.
| Required | No |
| Regulator | PBOC / CSRC / NFRA |
| Framework | Joint Notice on Further Preventing and Dealing with Risks of Virtual Currency Trading and Speculation (September 2021); reinforced by PBOC + 7 agencies joint notice on stablecoins and RWA tokenization (February 6, 2026) |
| Ease | very_complex |
| Cost (USD) | N/A - all crypto activity banned |
No detailed enforcement information available
| Status | Pilot |
| Name | e-CNY |
| Issuing Authority | People's Bank of China |
| Model | wholesale |
| Technology | Feitian Technologies (Non-DLT) |
| KYC Required | Yes |
| Travel Rule | Yes |
| FATF Member | Yes |
| FATF Status | compliant |
| FATF Body | FATF |
| Suspicious-Activity Reporting | Yes |
Status: Banned
DeFi activities are banned in China under the comprehensive prohibition on cryptocurrency. Technology platforms are mandated to block DeFi interfaces and decentralized wallets. The Feb 2026 directive extended controls to RWA tokenization, a closely related area.
Status: Banned
Stablecoins are explicitly banned under both the 2021 Joint Notice and a new February 2026 PBOC + 7-agency directive targeting RMB-pegged stablecoins and RWA tokenization specifically.
Status: Restricted
| Legal | No |
| Electricity Cost | $0.076/kWh |
| Renewable Energy | 32% |
| Infrastructure | excellent |
Crypto mining is banned in China since 2021 following government crackdowns. Electricity cost and renewable energy data are based on latest available statistics.
| Stability | stable |
| Sanctions | No |
| Corruption Index | 45/100 |
| Banking Access | very_restricted |
| Sanctions Program Active | Yes |
Risk Factors
China maintains strict control over crypto activities including mining ban and severe restrictions on crypto businesses. Political stability is stable but internet freedom and banking access for crypto firms are very limited.
Recent Political Events
China has banned cryptocurrency trading, mining, and speculation activities as per the Joint Notice on Further Preventing and Dealing with Risks of Virtual Currency Trading and Speculation (September 2021). The People's Bank of China enforces strict prohibitions on crypto activities.
China is classified by FATF as: compliant.
KYC is mandatory for crypto businesses.
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Explore IT Services →Last reviewed: 2026-06-01 · Data source: Soken Crypto Legal Map
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