China Intensifies Crypto Ban: Trading, Stablecoins, & RWA Targeted

China has formalized and intensified its crackdown on all aspects of cryptocurrency, issuing a sweeping ban on trading, issuance, and related services. This includes prohibiting both domestic and overseas entities from engaging in crypto-crypto trading, fiat-crypto exchange, and the tokenization of real-world assets (RWA) without explicit government approval. A key focus is preventing the issuance of stablecoins pegged to the Renminbi (yuan), both onshore and offshore, to safeguard monetary sovereignty and prevent illicit financial activities. The People's Bank of China (PBOC) is actively promoting its central bank digital currency (e-CNY) as a preferred alternative, classifying it as 'digital deposit money'. The ban extends liability across the entire service stack, reinforcing a 'same business, same risk, same rules' principle for offshore entities. This represents a continuation of policies dating back to 2013 and signals increased regulatory pressure. Authorities are strengthening monitoring and risk prevention measures to curb speculation and protect national security. The crackdown is a clear signal of China’s long-term strategy to control the digital currency landscape.