Recent rumors of a new crypto trading and mining ban in China have sparked significant online discussion. However, experts quickly debunked these claims.
Origins of the Ban Rumors
On August 3, 2025, several social media posts claimed that China had placed a new ban on crypto. The rumors began after a post from Kalshi, stating that the alleged ban was due to concerns over money leaving the country and environmental damage from crypto mining.
Experts' Responses to the Fake News
Su Zhu, co-founder of the now-defunct hedge fund Three Arrows Capital, stated there is zero evidence supporting the new ban. He mentioned that his sources in China had not heard of any new regulatory actions. Journalist Colin Wu also declared there is no proof of a new policy and emphasized the lack of official documents or statements.
History of Crypto Regulation in China
China has a long history of regulating cryptocurrencies. Initial restrictions were imposed over ten years ago when the People’s Bank of China advised banks to stop handling Bitcoin transactions. In 2017, China banned ICOs and closed local crypto exchanges. By 2021, the government launched a nationwide crackdown on crypto mining, significantly reducing mining activities. However, individual crypto transactions have never been made illegal.
As a result, recent rumors of a crypto ban in China remain unverified, and experts continue to monitor changes in the country’s regulatory landscape.
