China’s governing Communist Party has demanded a strict crackdown on illicit graft executed via digital assets and blockchain networks.
This appeal is featured within the resolution ratified by the Party’s Central Committee on October 29 during the Fifth Plenary Session of the 20th Central Committee. Xinhua released the complete text on November 1. The document focuses on what the Party labels “comprehensive and stringent Party self-governance,” emphasizing its drive for heightened accountability within its membership.
The mention of cryptocurrency emerges in a single sentence under the segment dedicated to combating corruption, urging measures to “firmly suppress corruption conducted through the internet, virtual currency, transnational funds, blockchain and similar methods,” based on an English translation from the original Chinese.
The resolution omits any mention of bitcoin and remains silent on digital asset trading, mining operations, or stablecoins.
Furthermore, the text urges authorities to “uncover novel and concealed forms of corruption,” such as “anticipated returns, agreed-upon proxy ownership,” “white gloves,” and the public-private sector “revolving door.”
China maintains a longstanding prohibition against cryptocurrencies. In December 2013, the People’s Bank of China alongside other financial authorities prohibited banking institutions from processing bitcoin payments. By September 2017, the central bank outlawed initial coin offerings and domestic crypto exchanges. In September 2021, the central bank and multiple governmental bodies declared all digital currency transfers illegal while authorities targeted mining activities.
Most recently, an announcement directed by the central bank on February 6 reiterated that virtual currency operations within the mainland constitute unlawful financial practices. As outlined by CryptoSlate’s overview of the directive, it additionally prohibited offshore yuan-backed stablecoins and unauthorized tokenization of physical assets.
Originally published at https://www.coindesk.com/markets/2026/11/02/china-s-communist-party-calls-for-a-crackdown-on-corruption-that-uses-crypto-and-blockchain.
