China Rumored to Unban Bitcoin: How Likely Is It?

As an analyst with a decade of experience navigating the volatile and unpredictable world of cryptocurrencies, I must admit that the latest rumors about China potentially lifting its Bitcoin ban have piqued my curiosity. Given China’s historically stringent approach to digital currencies, this news, if true, would undoubtedly shake up the crypto space.


There’s been renewed excitement within the cryptocurrency world as speculation swirls about China potentially lifting its ban on Bitcoin. Today, several Twitter accounts, including the crypto news agency @bitcoinIfgo, have shared this information in a tweet, suggesting that China could lift the ban by the end of the year.

Despite no formal statement from the Chinese authorities as of now, it’s challenging to disregard such speculation, given China’s stringent approach towards cryptocurrency regulations.

China Rumored to Unban Bitcoin: How Likely Is It?

Why is the Rumor Spreading Now?

On September 25, 2024, for the first time since the ban, the Shanghai No. 2 Intermediate People’s Court recognized Bitcoin as a legitimate digital form of currency. The court characterized Bitcoin as “unique” and emphasized its limited supply and user-friendly nature as a medium of exchange.

The court decision doesn’t specify whether Bitcoin trading or mining will resume in China immediately. Nevertheless, it lends more credibility to Bitcoin within China’s legal framework, implying a potential softening of the government’s stance towards Bitcoin, suggesting that a ban could be lifted in the future.

Furthermore, the talk about this potential lifting of the Bitcoin ban isn’t a recent development. It gained traction in July 2024, following a tweet by Mike Novogratz, CEO of Galaxy Digital, who mentioned overhearing rumors that China might reconsider its stance on Bitcoin. However, some questioned the credibility of this information.

As a crypto investor, I’ve noticed a comment suggesting that despite the government having prohibited cryptocurrency trading on several occasions, there have been no significant consequences. This user predicts a similar outcome whenever the government decides to lift these bans multiple times.

As a researcher, I’ve observed that the government implemented a ban on cryptocurrency exchanges for the first time back in 2017. Fast-forward to 2021, they took it a step further and outright banned Bitcoin mining within our borders. This compelled miners to transfer their operations overseas. Currently, trading Bitcoin using the Chinese yuan is no longer an option.

As a crypto investor, I’ve come to understand that Bitcoin is legally classified as personal property, allowing individuals like me to own it. However, engaging in activities such as trading or mining Bitcoin might potentially breach the law since these actions are not explicitly recognized as legal under current regulations.

If the reports about China lifting its ban on Bitcoin prove true, it would make a significant impact within the cryptocurrency sector.

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2024-10-05 19:32