based on materials from the website -
By Coincu
Recently, the security forces of China's Guizhou province began using joint storage centers and cold wallets to handle cryptocurrencies acquired illegally, particularly in the city of Duyun.
This approach reflects China's strategic shift towards managing crypto assets amidst a trading ban, which may affect market liquidity and regulatory frameworks.
Seized crypto assets in China: solutions for cold storage
After the trading ban on cryptocurrencies was implemented in China in 2021, the public security bureau of Duyun city developed protocols for handling seized digital currencies. The introduction of cold wallets and joint storage centers for these assets marks a significant shift in operations.
The preservation and disposal of seized assets faced practical difficulties, prompting China to reconsider its approach. This shift may influence international practices regarding digital currencies and their regulation. Gao Zhihao, a senior partner at Beijing law firm Yingke, stated: 'The sale of digital assets by authorities directly contradicts the national trading ban on cryptocurrencies.'
No official statements have been made by senior officials. However, legal experts express concerns about compliance requirements and potential market disruptions, highlighting the ongoing dialogue with regulators.
In 2025, a pilot program for the disposal of confiscated cryptocurrencies in China resulted in minimal market disruptions, prompting discussions on new global compliance standards for cryptocurrency legislation.
According to the latest data from CoinMarketCap, the price of Bitcoin is approximately $118,323.57. With a market capitalization of $2.36 trillion, Bitcoin holds 58.61% of the market.
