The new regulatory rules, referred to by the market as the 'strictest in history' for the virtual currency sector, have recently been officially implemented.

On February 6, the central bank, together with eight departments, issued the 'Notice on Further Preventing and Handling Risks Related to Virtual Currencies' (hereinafter referred to as the 'Notice'), reiterating that activities related to virtual currencies are considered illegal financial activities and for the first time explicitly stating that no unit or individual may issue stablecoins linked to the Renminbi abroad.

At the same time, the Securities Regulatory Commission released a practical attachment titled 'Regulatory Guidelines for Asset-Backed Securities Tokens Issued Overseas from Domestic Assets' (hereinafter referred to as the 'Guidelines'), which for the first time defines the tokenization of real-world assets (RWA) and establishes the regulatory principle of 'strict prohibition domestically and strict regulation overseas.'