The People's Bank of China and other departments issued a notice on further preventing and handling risks related to virtual currencies and related activities. (Yin Fa [2026] No. 42).
The notice clearly defines the essential attributes of virtual currencies, tokenization of real-world assets, and related business activities, stating that virtual currencies do not hold the same legal status as legal tender.
$BTC , $ETH , $USDT and other virtual currencies have key characteristics such as non-issuance by monetary authorities, use of encryption technology and distributed ledger or similar technology, and existence in digital form, lacking legal tender status, and should not and cannot be circulated and used as currency in the market.
The notice clearly defines the essential attributes of virtual currencies, tokenization of real-world assets, and related business activities, stating that virtual currencies do not hold the same legal status as legal tender.
$BTC , $ETH , $USDT and other virtual currencies have key characteristics such as non-issuance by monetary authorities, use of encryption technology and distributed ledger or similar technology, and existence in digital form, lacking legal tender status, and should not and cannot be circulated and used as currency in the market.