The People's Bank of China (PBOC) has emphasized the importance of crypto regulation in its 2024 Financial Stability Report. While mainland China still bans crypto trading and mining from 2021, Hong Kong has opened its doors to crypto companies, implementing a licensing mechanism and allowing retail trading from 2023.

The PBOC has warned that crypto could pose risks as it becomes more popular in payments and investments, and China is also working with international organizations to build a global legal framework to effectively regulate the sector.