#中国加密新规 China's new encryption regulations

• Mainland Tone: Strictly prohibit private encryption transactions, and promote e-CNY. The People's Bank of China emphasizes expanding the internationalization of the digital RMB and the multi-polar monetary system; supervision has not relaxed the ban on crypto speculation. 

• Research/Propaganda Tightening: Regulators reportedly require multiple securities firms to stop research and publicity endorsing stablecoins to suppress related hype and potential risks.  

• Enforcement and Handling Standard Discussions: Discussions on rules for how to handle seized crypto assets (realization, storage, etc.) reflect regulatory attention to crime and capital flight. 

• Hong Kong (a Special Administrative Region of China) as a Sandbox: The Legislative Council passed the "Stablecoin Ordinance" in May, which came into effect on August 1, establishing a licensing system for the issuance of fiat-anchored stablecoins; only a small number of licenses will be issued first, emphasizing KYC/AML and sound operation.   

• Offshore RMB Stablecoin Initiative: Large technology companies have been reported to be lobbying to issue offshore RMB stablecoins in Hong Kong to hedge against the impact of USD stablecoins and promote cross-border payments.