China’s central bank reaffirms virtual assets as illegal payment methods
China’s central bank stated that virtual assets are not money, do not possess the status of legal tender, and any activities involving them are deemed illegal financial operations.
Source PBC
The regulator emphasized that stablecoins also fall under virtual assets and carry significant risks due to non-compliance with KYC/AML requirements, including potential money laundering and unlawful cross-border transfers.
This stance highlights China’s commitment to strengthening oversight of financial risks linked to cryptocurrencies and preventing their illegal use within the economy.
