As per MarsBit, on November 29, 2025, the People’s Bank of China released an official article titled 'Meeting of the Coordinating Mechanism for Combating Virtual Currency Trading and Speculation.' The article explicitly defined stablecoins as a form of virtual currency and stated that they currently fail to meet requirements for customer identification and anti-money laundering, posing risks for illegal activities such as money laundering, fundraising fraud, and illicit cross-border fund transfers. A prominent Web3 lawyer noted that this marks the first time stablecoins have been formally defined in official documents and placed under the regulatory framework of 'illegal financial activities involving virtual currency.' The statement is unlikely to directly impact Hong Kong’s stablecoin market but may lead to more cautious behavior from mainland institutions entering the space.
China Officially Defines Stablecoins as Virtual Currency, Citing Regulatory Risks
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