- China may survive its attitude towards cryptocurrencies because the judicial authorities check new approaches for corresponding cases.
- Hong Kong’s crypto -friendly policy could indicate a broader interest of the regulatory authorities of the Chinese mainland.
The Chinese government has been doing hard against Bitcoin and other cryptocurrencies for years. In 2021, the government imposed a general ban, which apparently brought all forms of cryptocurrency trade and mining on the mainland. But now there is a touch of change – and it comes from Hong Kong.
Recently gab The CEO of an ETF issuer from Hong Kong knownthat the Chinese regulatory authorities on the mainland seem to be considering a review of their policy in terms of Bitcoin and digital assets. These statements hide some interesting steps that could be the first sign of major changes.
BREAKING:
HONG KONG ETF ISSUER SAYS CHINA
WILL "RECONSIDER ITS STANCE" ON
BITCOIN AND CRYPTO POLICY.CHINA FUD TO CHINA FOMO
pic.twitter.com/lmqR2ipNYl
— Ash Crypto (@Ashcryptoreal) March 24, 2025
Hong Kong is traditionally pioneer
Hong Kong is known to have its own financial system that differs in mainland China. Due to the status “one country, two systems”, the city is often used as a place to try out things that cannot be implemented directly on the mainland. This also includes the world of cryptocurrencies.
Hong Kong recently approved the introduction of Spot ETFs for Bitcoin and Ethereum-the first in Asia. In the meantime, the government is also working on new tax guidelines that benefit hedge funds and family offices that want to invest in digital assets. Is this just a local initiative? Or is it a sign that the Chinese mainland is watching from a distance?
China’s cryptom builder begins to crumble
Interestingly, CNF reported at the end of February 2025 that the Chinese judicial authorities began to check how they could treat crypto cases while maintaining the national ban that has existed for more than three years. In the meantime, the Chinese central bank remains aggressive when strengthening its supervision over the global cryptom market as part of its roadmap for financial stability.
In addition, personalities such as Yifan He from Red Date Technology, who once believed that the chances that China will rescue the crypto ban, are now 0 %, now that they see a more than 50 % chance that this will happen in the next three years.
Billions in crypto – but where?
In March 2025, reports appeared that the Chinese government apparently holds a large amount of crypto assets-which comes from the Plustoken fraud, which collapsed in 2019. The numbers are not low: 194,000 BTC, 833,000 ETH, 487 million XRP and 6 billion Doge, with a total value of around $ 21.167 billion at the current time.
But not everyone believes that all of this is still there. The economist Peter Schiff, for example, criticized the statement by US Senator Cynthia Lummis that China could compete with the USA when Bitcoin was accumulated. Schiff says that China could have sold all bitcoins in January of this year.
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