WEBDESK: In a major move shaking up the digital finance world, China bans crypto once again – but this time with even stricter measures. The country is no longer just banning crypto trading or mining. Now, it’s banning individuals from even owning cryptocurrencies like Bitcoin.
The Chinese government has announced a sweeping new ban that prohibits not just trading or mining of cryptocurrencies, but now extends to individual ownership of digital assets like Bitcoin, according to a report by Binance, a cryptocurrency exchange.
This new policy marks the most serious crackdown so far. The goal, officials say, is to protect financial stability, fight fraud, and support the use of the digital yuan, China’s government-backed currency.
This isn’t the first time China bans crypto, but earlier bans mainly targeted trading platforms and mining operations. Now, anyone in China holding Bitcoin or other cryptocurrencies – even if they bought them outside the country – could be investigated. Chinese authorities are also increasing surveillance of digital wallets and blocking both local and international crypto exchanges.
The global impact was immediate. Bitcoin prices dropped from over $111,000 to below $104,000 in just a few hours. Ethereum fell nearly 7%, and other popular coins like Solana, Cardano, and XRP suffered even bigger losses. On the other hand, stablecoins such as USDT saw a rise in demand as investors rushed toward safer options.
There are many consequences as a result of China bans crypto. Use of cryptocurrency is now restricted by Beijing which could lead to a speed-up in adoption of the digital yuan. The ban may drive people in Asia to choose different regions that are more open to crypto activities.
While there is a market drop because of China bans crypto, some investors think it will only be temporary. After news of China’s bans, the crypto markets have recovered many times. Some buyers think now is the moment to buy properties since prices are still affordable.
In the meantime, various nations are choosing other paths following China’s decision to forbid cryptocurrencies. Contrary to China’s tough approach, many other countries are searching for ways to guide crypto instead of making it illegal. It is clear that there are different opinions about the future of digital assets among countries.
