China has taken its toughest stance yet on digital assets, reportedly banning even individual ownership of cryptocurrencies like Bitcoin. According to a report by crypto exchange Binance, the move marks a major escalation from previous restrictions that targeted trading and mining. This time, authorities have gone a step further outlawing private holdings of digital currencies altogether.
The move triggered an immediate dip in the global crypto markets, with Bitcoin falling below the key support level of $106,000(₹ 88.19 lakh), and altcoins like XRP, Solana, and Cardano posting sharper losses.
Algoritha: The Most Trusted Name in BFSI Investigations and DFIR Services
Crackdown Tied to Digital Yuan Push
The updated ban, introduced on May 30, 2025, aligns with Beijing’s strategy to centralize financial control and accelerate the rollout of its central bank digital currency (CBDC) the digital yuan. The policy shift signals China’s intent to eliminate decentralized financial systems that operate beyond state control.
Despite the aggressive stance, stablecoins held steady, and experts predict the market could stabilize quickly, as such regulatory shocks often serve as entry points for seasoned investors.
Global Implications: Divide Widens
China’s move deepens the global divide in digital asset governance. While Beijing clamps down, regulators in the U.S., Europe, and Latin America continue to explore frameworks to support and integrate digital assets responsibly.
Analysts also suggest that China’s crypto ban could push decentralization further across Asia, as users migrate toward more crypto-friendly jurisdictions.
About the author – Ayush Chaurasia is a postgraduate student passionate about cybersecurity, threat hunting, and global affairs. He explores the intersection of technology, psychology, national security, and geopolitics through insightful writing.