China Eyes Crypto Reassessment as U.S. Embraces Bitcoin Strategy, Says Grayscale
China may be re-evaluating its strict crypto policies following the United States’ recent pivot toward digital asset accumulation, according to a report released Monday by digital asset manager Grayscale.
The shift comes in the wake of President Trump’s directive to establish a Strategic Bitcoin Reserve, marking a significant milestone in the U.S. government’s crypto involvement. This policy move could prompt global ripple effects, particularly in China — a country historically skeptical of cryptocurrencies.
“China is a pivotal country in this equation,” Grayscale said. “If it begins to loosen its grip on crypto restrictions, the acceleration of worldwide bitcoin adoption could follow.”
While mainland China continues to enforce bans on crypto trading and mining, the holding of digital assets remains legal. At the same time, Hong Kong has been testing the waters with a regulated crypto framework, suggesting a possible softening stance under the ‘one country, two systems’ model.
Grayscale also pointed to discussions in February involving China’s Supreme Court and other key legal bodies, which reportedly explored how digital assets should be classified and treated in legal proceedings — a sign of regulatory evolution.
“Any signs of regulatory moderation from Beijing, especially in light of the U.S.’s more assertive crypto stance, could signal a tectonic shift in the global digital asset landscape,” the report added.
