Plasma

Global Stablecoin Regulation

China

China

by
Plasma
Plasma
Last Updated: May 20, 2026
Private (non-sovereign) stablecoins and related virtual-currency business activities are prohibited across Mainland China. The ban was established by the People's Bank of China and nine other authorities in Notice Yin Fa [2021] No. 237, effective 15 September 2021. In February 2026, a further Notice explicitly extended the prohibition to RMB-pegged stablecoins (previously covered implicitly) and RWA tokenization platforms, formally closing any interpretational gaps. China continues to pilot and expand a central bank digital currency (e-CNY) issued by the PBoC, which is a separate, legal-tender CBDC.

Notice on Further Preventing and Handling the Risks of Hype in Virtual Currency Trading

China to tighten regulation on virtual currency trading, speculation

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Legal Status

Banned

Regularity Clarity
5/5
Regime Status

In-Force

Allowed Types

None

Classification

Crypto Asset

Private stablecoins and other privately issued virtual currencies are treated as "virtual currencies" that do not possess the legal status of fiat and whose associated business activities are classified as illegal financial activities under the multi-agency Notice (Yin Fa [2021] No. 237). The PBoC's e-CNY is a separate central-bank-issued digital currency (CBDC) and is legal tender.

Notice on Further Preventing and Handling the Risks of Hype in Virtual Currency Trading

Progress of Research & Development of E-CNY in China

Regulatory Authorities

People's Bank of China (PBoC)

Lead authority for monetary policy and the issuer/regulator of legal tender (including the e-CNY CBDC); co-author and implementer of the 2021 Notice; supervises financial institutions on compliance with the notice.

Central Cyberspace Affairs Commission (网信办, CAC)

Co-signatory; responsible for internet content/access measures and shutting down online apps/websites that support illegal virtual-currency activities.

Consumer Protection

Reserve Requirements

Not applicable to private stablecoins in Mainland China because private issuance and related business activities are prohibited. (No mainland law or regulator authorises or prescribes reserve rules for private stablecoins.)

Auditing

Not applicable for private stablecoins (no authorised regime). For PBoC e-CNY, operational oversight is conducted by the PBoC (see PBoC materials on pilots and system design).

Redemption Rights

Not applicable for private stablecoins (prohibited). Redemption / convertibility rules for e-CNY are determined by the PBoC as issuer.

Recent Developments

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Remittance Race

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