Be cautious when speculating in cryptocurrencies in China: Legal boundaries and the definition of personal behavior

Important clarifications are as follows:

Legal status of Bitcoin: In China, non-legal digital currencies such as Bitcoin do not enjoy legal currency status, which means that voluntary buying and selling between individuals (including the transfer of funds in and out) does not constitute an illegal act under the current legal framework. However, it should be kept in mind that using cryptocurrencies such as Bitcoin to speculate on exchange rates (such as exchanging through illegal channels) or inducing others to participate (commonly known as "pulling people") may violate relevant laws and regulations.

Restrictions on cryptocurrency business activities: For commercial operations involving cryptocurrencies, such as setting up cryptocurrency exchanges, issuing new cryptocurrencies, and directly conducting over-the-counter (OTC) transactions, these behaviors are considered illegal in China. These regulations are intended to maintain the stability and order of the financial market and prevent the breeding of illegal financial activities.