The People's Bank of China 🇨🇳 held a coordinating mechanism meeting to combat the speculation and trading of Virtual Money.

Many people panic just by looking at the title, but we need to correctly interpret the logic behind it.

But there's a strange phenomenon: "Every time the country cracks down on Virtual Money, it rises even more." 😂

This meeting is indeed different, with a high standard this time: thirteen ministries are meeting together, led by the central bank, and all departments including public security, prosecution, law, and the internet information office are present.

There are three core points:

1️⃣The status of virtual money remains unchanged: it is an asset, not a currency.

The authorities reiterated that Bitcoin and Ethereum do not have legal tender status in the country, cannot be used as money, and cannot be used for payment circulation.
To put it professionally, it is:
It has asset attributes, but does not have currency attributes.

To put it simply —
You can buy, you can lose, you can also rise, but you cannot treat it as a "parallel world version" of RMB. This characterization has not changed from 2017 to now, this time it is just being emphasized again.

2️⃣Stablecoins are specifically mentioned: currently not recognized, foreign circulation = high risk

The most sensitive point this time is here.
Stablecoins (such as USDT) are directly locked by the authorities as:
One of the main tools for running scores, fraud, and illegal cross-border fund transfers.

So in the current system:
Stablecoins are not recognized and cannot be used for cross-border transfers, settlement, fundraising, and other activities.
These are all directly classified as illegal high-risk areas.

In other words, many people used to take a "detour" with stablecoins, but now this detour has basically been blocked.

3️⃣ The focus is not on the coin price, but on channel regulation: this is a systematic closure.

This time it's not a "call out", but a coordination mechanism.
This means that in the future, regulation will not be a "lone effort" by a single department, but rather a "joint operation by thirteen ministries".
The purpose is very clear:
Combat illegal financial activities and strengthen the control of the capital chain.

The keywords here are:
Illegal operation, money laundering, and cross-border funds transfer risks.
It is not about targeting Bitcoin itself, but rather about targeting some gray market channels surrounding it.

⭐The most concerning point in the coin circle: Will it affect the market?

To be honest, the impact of some illegal financial activities is enormous:

"Every time the country cracks down on Virtual Money, it goes up even more."

The reason is simple:
The global market is too large, and the supply and demand structure is not determined by the attitude of a single country.
China is addressing the "domestic channel risk."
It is not the global asset pricing logic.

So although the intensity this time is great, the essence is still "risk elimination," not "value going to zero."

It is not a one-size-fits-all approach, nor is it about eliminating digital assets, but rather about preventing gray area chaos on the funding side.

The specifications for this meeting are indeed high, as thirteen ministries have tightened their controls together. The status of virtual money remains unchanged: it is an asset, not currency; stablecoins have been singled out, and related gray market practices for cross-border transactions are basically out of the question in the future. The role of regulation is to block channels, not to crash coin prices. Historical patterns tell us that after every crackdown, the market often becomes even stronger. The key is to understand the policy bottom line and not to cross the red line. #十二月降息预测