Full Text | Multiple ministries issued a notice on further preventing and handling risks related to virtual currencies.

On the evening of February 6, several regulatory authorities officially released the "Notice on Further Preventing and Handling Risks Related to Virtual Currency (Yinfa [2026] No. 42)" issued by the People's Bank of China, the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Public Security, the State Administration for Market Regulation, the State Financial Regulatory Commission, the China Securities Regulatory Commission, and the State Administration of Foreign Exchange.

This is a formal regulatory document issued following a meeting of multiple ministries on November 28, 2025, to coordinate efforts to combat speculation in virtual currencies. This notice takes effect from the date of issuance. It also repeals the 2021 "Notice on Further Preventing and Handling Risks of Speculation in Virtual Currency Trading" issued by the People's Bank of China and ten other departments.

The full text of the notice is as follows:

To the People's Governments of all provinces, autonomous regions and municipalities directly under the Central Government, and the Xinjiang Production and Construction Corps:

Recently, speculative activities related to virtual currencies and the tokenization of real-world assets (RWA) have occurred frequently, disrupting economic and financial order and endangering the property safety of the people. To further prevent and address the risks associated with the tokenization of virtual currencies and RWA, and to effectively safeguard national security and social stability, in accordance with the provisions of the *Law of the People's Republic of China on the People's Bank of China*, the *Law of the People's Republic of China on Commercial Banks*, the *Securities Law of the People's Republic of China*, the *Securities Investment Fund Law of the People's Republic of China*, the *Futures and Derivatives Law of the People's Republic of China*, the *Cybersecurity Law of the People's Republic of China*, the *Regulations on the Administration of Renminbi*, the *Regulations on the Prevention and Handling of Illegal Fundraising*, the *Regulations on Foreign Exchange Control*, and the *Telecommunications Regulations*, and with the consent of the State Council, and after reaching an agreement with the Cyberspace Administration of China, the Supreme People's Court, and the Supreme People's Procuratorate, the following matters are hereby notified:

I. Clarify the essential attributes of virtual currencies, tokenization of real-world assets, and related business activities.

(i) Virtual currencies do not have the same legal status as fiat currencies. Virtual currencies such as Bitcoin, Ethereum, and Tether have the main characteristics of being issued by non-monetary authorities, using encryption technology and distributed ledger or similar technologies, and existing in digital form. They do not have legal tender status and should not and cannot be used as currency in the market.

Virtual currency-related business activities constitute illegal financial activities. Any virtual currency-to-fiat currency exchange, virtual currency exchange, acting as a central counterparty in virtual currency trading, providing information intermediary and pricing services for virtual currency transactions, token issuance financing, or trading of virtual currency-related financial products within China, which constitute illegal token issuance, unauthorized public offering of securities, illegal operation of securities and futures businesses, illegal fundraising, or other illegal financial activities, are strictly prohibited and will be resolutely shut down according to law. Foreign entities and individuals are prohibited from illegally providing virtual currency-related services to domestic entities in any form.

Stablecoins pegged to fiat currencies effectively perform some of the functions of fiat currencies in circulation. Without the approval of relevant authorities in accordance with laws and regulations, no entity or individual, whether domestic or foreign, may issue stablecoins pegged to the Renminbi overseas.

(ii) Real-world asset tokenization refers to the activity of using cryptographic technology and distributed ledger or similar technology to convert the ownership and income rights of assets into tokens or other rights and bond certificates with token characteristics, and then issuing and trading them.

Conducting real-world asset tokenization activities within China, as well as providing related intermediary and information technology services, which are suspected of involving illegal token issuance, unauthorized public offerings of securities, illegal operation of securities and futures businesses, illegal fundraising, or other illegal financial activities, should be prohibited, except for related business activities conducted based on specific financial infrastructure with the approval of the competent authorities in accordance with laws and regulations. Foreign entities and individuals are prohibited from illegally providing real-world asset tokenization-related services to domestic entities in any form.

II. Improve the working mechanism

(III) Inter-departmental collaboration. The People's Bank of China, together with the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Public Security, the State Administration for Market Regulation, the State Financial Regulatory Commission, the China Securities Regulatory Commission, and the State Administration of Foreign Exchange, will improve the working mechanism and strengthen coordination with the Cyberspace Administration of China, the Supreme People's Court, and the Supreme People's Procuratorate to form a joint force and provide overall guidance to various regions in carrying out risk prevention and disposal work related to illegal financial activities involving virtual currencies.

The China Securities Regulatory Commission (CSRC), together with the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Public Security, the People's Bank of China, the State Administration for Market Regulation, the Financial Regulatory Commission, and the State Administration of Foreign Exchange, has improved its working mechanism and strengthened coordination with the Cyberspace Administration of China, the Supreme People's Court, and the Supreme People's Procuratorate to form a joint force and provide overall guidance to various regions in carrying out risk prevention and disposal work related to illegal financial activities involving the tokenization of real-world assets.

(iv) Strengthen local implementation. Each provincial-level people's government shall be responsible for the overall prevention and handling of risks related to virtual currencies and the tokenization of real-world assets within its administrative region. Specifically, the local financial management departments shall take the lead, with the participation of branches and agencies of the State Council's financial management departments, as well as telecommunications authorities, public security departments, market supervision departments, and other relevant departments. They shall coordinate with the cyberspace administration departments, people's courts, and people's procuratorates to establish a sound and regular working mechanism, and effectively connect with the relevant working mechanisms of central departments to form a working pattern of central-local collaboration and vertical integration. This will actively prevent and properly handle risks related to virtual currencies and the tokenization of real-world assets, and maintain economic and financial order and social stability.

III. Strengthen risk monitoring, prevention and response

(V) Strengthen Risk Monitoring. The People's Bank of China, the China Securities Regulatory Commission, the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Public Security, the State Administration of Foreign Exchange, and the Cyberspace Administration of China will continuously improve monitoring technologies and system support, strengthen cross-departmental data analysis and sharing, establish and improve information sharing and cross-verification mechanisms, and promptly grasp the risk situation of activities related to virtual currencies and the tokenization of real-world assets. Provincial-level people's governments should give full play to the role of local monitoring and early warning mechanisms. Local financial management departments, together with branches and agencies of the State Council's financial management departments, as well as the Cyberspace Administration of China, public security departments, and other relevant departments, should effectively coordinate online monitoring, offline investigation, and fund monitoring to efficiently and accurately identify activities related to virtual currencies and the tokenization of real-world assets, share risk information in a timely manner, and improve the rapid response mechanism for the transmission, verification, and handling of early warning information.

(VI) Strengthen the management of financial, intermediary, and technology service institutions. Financial institutions (including non-bank payment institutions) shall not provide account opening, fund transfer, and clearing and settlement services for virtual currency-related business activities, nor shall they issue or sell virtual currency-related financial products, include virtual currencies and related financial products in the scope of collateral, or conduct insurance business related to virtual currencies or include virtual currencies in the scope of insurance liability. They shall also strengthen risk monitoring and promptly report any clues of illegal or irregular activities to relevant departments. Financial institutions (including non-bank payment institutions) shall not provide custody, clearing and settlement services for unauthorized real-world asset tokenization-related businesses and related financial products. Relevant intermediary institutions and information technology service institutions shall not provide intermediary, technical, or other services for unauthorized real-world asset tokenization-related businesses and related financial products.

(vii) Strengthen the management of internet information content and access. Internet companies shall not provide online business venues, commercial displays, marketing promotions, paid traffic redirection, or other services for business activities related to virtual currencies or the tokenization of real-world assets. They shall promptly report any clues of illegal or irregular activities to relevant departments and provide technical support and assistance for related investigations and investigative work. Based on clues transferred by financial regulatory departments, the cyberspace administration, telecommunications authorities, and public security departments shall promptly and legally shut down and dispose of websites, mobile applications (including mini-programs), and public accounts engaged in business activities related to virtual currencies or the tokenization of real-world assets.

(viii) Strengthen the registration and advertising management of business entities. Market supervision departments shall strengthen the management of business entity registration. The registered names and business scopes of enterprises and individual businesses shall not contain words or content such as "virtual currency," "virtual asset," "cryptocurrency," "crypto asset," "stablecoin," "real-world asset tokenization," or "RWA." Market supervision departments, in conjunction with financial management departments, shall strengthen the supervision of advertisements related to virtual currency and real-world asset tokenization in accordance with the law, and promptly investigate and deal with relevant illegal advertisements.

(ix) Continue to regulate virtual currency mining activities. The National Development and Reform Commission, together with relevant departments, will strictly control virtual currency mining activities and continue to promote the regulation of virtual currency mining activities. Each provincial-level people's government shall be fully responsible for the regulation of mining within its administrative region. In accordance with the requirements of the "Notice on Regulating Virtual Currency Mining Activities" (NDRC Operation [2021] No. 1283) issued by the National Development and Reform Commission and other departments and the provisions of the "Guidance Catalogue for Industrial Structure Adjustment (2024 Edition)," they shall comprehensively review, investigate, and shut down existing virtual currency mining projects, strictly prohibit new mining projects, and strictly prohibit mining machine manufacturers from providing mining machine sales and other services within the territory.

(x) Severely crack down on related illegal financial activities. Upon discovering clues about illegal financial activities related to virtual currencies and the tokenization of real-world assets, local financial management departments, branches and agencies of the State Council's financial management departments, and other relevant departments shall promptly investigate, identify, and properly handle the matter in accordance with the law, and seriously pursue the legal responsibilities of relevant units and individuals. Those suspected of committing crimes shall be transferred to judicial organs for handling in accordance with the law.

(xi) Severely crack down on related illegal and criminal activities. The Ministry of Public Security, the People's Bank of China, the State Administration for Market Regulation, the Financial Regulatory Commission, the China Securities Regulatory Commission, and other departments, as well as judicial and procuratorial organs, shall, in accordance with their respective responsibilities, severely crack down on illegal and criminal activities related to virtual currencies and the tokenization of real-world assets, such as fraud, money laundering, illegal business operations, pyramid schemes, and illegal fundraising, as well as related illegal and criminal activities carried out under the guise of virtual currencies and the tokenization of real-world assets.

(xii) Strengthen industry self-regulation. Relevant industry associations should strengthen member management and policy promotion, and based on their own responsibilities, advocate and urge member units to resist illegal financial activities related to virtual currencies and the tokenization of real-world assets. Member units that violate regulatory policies and industry self-regulatory rules should be punished in accordance with relevant self-regulatory management regulations. Risk monitoring related to virtual currencies and the tokenization of real-world assets should be carried out using various industry infrastructures, and clues to problems should be transferred to relevant departments in a timely manner.

IV. Strict supervision will be implemented over domestic entities conducting related business overseas.

(xiii) Without the consent of the relevant authorities in accordance with laws and regulations, no domestic entity or its controlled overseas entity may issue virtual currency overseas.

(xiv) Any real-world asset tokenization business conducted directly or indirectly by domestic entities in the form of foreign debt, or real-world asset tokenization business conducted overseas based on domestic asset ownership, beneficial rights, etc. (hereinafter collectively referred to as domestic equity), shall be strictly regulated by the National Development and Reform Commission, the China Securities Regulatory Commission, the State Administration of Foreign Exchange, and other relevant departments in accordance with their respective responsibilities and in accordance with laws and regulations, based on the principle of "same business, same risk, same rules." Other forms of real-world asset tokenization business conducted overseas by domestic entities based on domestic equity shall be regulated by the China Securities Regulatory Commission in conjunction with relevant departments in accordance with their respective responsibilities. No unit or individual may conduct the above-mentioned business without the consent or filing of the relevant departments.

(XV) Overseas subsidiaries and branches of domestic financial institutions providing services related to the tokenization of real-world assets overseas shall act in accordance with the law and with prudence, equip themselves with professional personnel and systems, effectively prevent business risks, strictly implement requirements such as customer access, suitability management, and anti-money laundering, and incorporate them into the compliance and risk control management system of domestic financial institutions. Intermediary institutions and information technology service institutions that provide services for domestic entities to directly or indirectly conduct real-world asset tokenization business in the form of foreign debt overseas, or to conduct real-world asset tokenization related business overseas based on domestic equity, shall strictly abide by the provisions of laws and regulations, establish and improve relevant compliance internal control systems in accordance with relevant normative requirements, strengthen business and risk management, and report or file relevant business operations with relevant management departments for approval or filing.

V. Strengthen Organization and Implementation

(XVI) Strengthen organizational leadership and overall coordination. All departments and regions should attach great importance to the prevention and control of risks related to virtual currencies and the tokenization of real-world assets, strengthen organizational leadership, clarify work responsibilities, form a long-term working mechanism of central coordination, local implementation, and joint responsibility, maintain a high-pressure stance, dynamically monitor risks, and effectively and orderly prevent and resolve risks, protect the property safety of the people in accordance with the law, and make every effort to maintain economic and financial order and social stability.

(XVII) Conduct extensive publicity and education. All departments, regions and industry associations should make full use of various media and other communication channels to publicize the illegality, harmfulness and manifestations of virtual currency and real-world asset tokenization-related businesses through legal and policy interpretation, typical case analysis and investment risk education, so as to fully highlight the potential risks and improve the public's risk awareness and identification capabilities.

VI. Legal Liability

(18) Any entity or individual that violates the provisions of this Notice by engaging in illegal financial activities related to virtual currencies or the tokenization of real-world assets, or by providing services for businesses related to virtual currencies or the tokenization of real-world assets, shall be punished in accordance with relevant regulations; if a crime is constituted, criminal liability shall be pursued in accordance with the law. Any domestic entity or individual that knowingly or should have known that a foreign entity is illegally providing services related to the tokenization of virtual currencies or real-world assets to a domestic entity, and still provides assistance, shall be held accountable in accordance with the law; if a crime is constituted, criminal liability shall be pursued in accordance with the law.

(xixteen) Any unit or individual that invests in virtual currencies, real-world asset tokens and related financial products in violation of public order and good morals shall have their related civil legal acts invalid and shall bear the losses arising therefrom; if they are suspected of disrupting financial order or endangering financial security, they shall be investigated and dealt with by the relevant departments in accordance with the law.

This notice shall take effect from the date of its issuance. The "Notice on Further Preventing and Handling Risks of Virtual Currency Trading and Speculation" (Yinfa [2021] No. 237) issued by the People's Bank of China and other ten departments is hereby repealed.

People's Bank of China

National Development and Reform Commission

Ministry of Industry and Information Technology

Ministry of Public Security

State Administration for Market Regulation

State Financial Regulatory Commission

China Securities Regulatory Commission

State Administration of Foreign Exchange

February 6, 2026