$COAI won't die this time, but will shed skin.

Recently, the core of China's regulation on cryptocurrency is reflected in the relevant deployments of the coordination mechanism meeting aimed at combating virtual currency trading speculation, led by the central bank in November 2025. This continues and strengthens the spirit of previous regulations, with the specific key content as follows:

1. Clearly define the attributes of stablecoins: This meeting for the first time defines stablecoins as a form of virtual currency, pointing out that they face issues such as inability to meet customer identification and anti-money laundering requirements, making them susceptible to illegal activities such as money laundering and fundraising fraud, and thoroughly negating their market expectation of "currency-like" properties.

2. Reaffirm the non-legal nature of the business: Once again emphasize that virtual currencies do not have the status of legal tender and legal compensation, cannot circulate in the market, and related activities such as exchanging legal currency for virtual currency and trading virtual currency are all illegal financial activities. This is consistent with the core requirements of the notice issued by ten departments in 2021 regarding "Further Preventing and Dealing with Risks of Speculation in Virtual Currency Trading."

3. Strengthen multi-departmental collaborative supervision: Establish a regulatory pattern led by the central bank and involving 13 departments, focusing on key links of information flow and capital flow. The cyber information departments will clean up illegal promotional content, financial institutions will investigate non-compliant payment interfaces, and the public security departments will crack down on related illegal activities, forming a comprehensive risk prevention and control system.

4. Improve regulatory technology and cross-border cooperation: Upgrade monitoring platforms through technologies such as blockchain tracing and big data analysis to achieve real-time monitoring of mainstream virtual currency transactions; simultaneously interface with international anti-money laundering standards, promote cross-border data sharing and asset freezing related to cases, and prevent the risk of cross-border illegal flow of virtual currencies.