The central bank and eight other departments jointly issued a document, strictly prohibiting virtual currency business activities. This time is different from the past; it clearly states that foreign entities controlled by domestic subjects cannot issue tokens abroad. It sounds complicated; what do you think?

What exactly does this notice, known as the 'strictest in history', say? Why must it take strong measures behind it?

First, you need to understand why the big players are desperately pushing for stablecoins. It's like when the Bretton Woods system couldn't function anymore; the big shots, while they were still in control, quickly designed a new set of rules. Now, the private stablecoins being developed are essentially the 'shadow of the digital dollar'. They want global transactions to continue revolving around the dollar without anyone noticing. This is a battle over how money will be accounted for in the future. The strict prohibition of any RMB-linked stablecoins by the Eastern powers is a clear statement: our currency sovereignty, and you shouldn't even think about sneaking in your 'digital tracks'. Now, why are global central banks quietly hoarding gold? The reasoning is as simple as Laozi's principles; when a major storm hits, what gives you the most comfort isn't flashy investment contracts or a string of numbers on your phone, but those heavy, golden nuggets stored away. Gold has been humanity's 'ultimate hard currency' for thousands of years, transcending all countries and eras, and when it comes to a critical moment, everyone rushes to recognize it as the 'last promise'.

Our regulation is so resolute that it is precisely the national credit behind the RMB, as tangible as gold, rather than those 'beautiful algorithm beliefs' floating in the sky. Specifically, the new rules can be summarized as four 'locks' that weld the door shut for you.

The first lock seals off all transactions within the country, clearly stating that all related business activities are illegal financial activities. This is akin to your community property management issuing a final notice: not only is gambling illegal, but even providing venues, bringing people in, and helping to count money will be thoroughly investigated. The entire industry chain from buying and selling exchanges to information intermediaries will be uprooted, aiming to completely dismantle all 'gambling tables' within the country. So why such rigor? There are two core reasons. The first is to prevent money laundering; virtual currencies, anonymity, and cross-border peer-to-peer transactions are essentially highways for money laundering, fraud, embezzlement, and capital flight. Recently, a lot of money from Southeast Asian telecom fraud has slipped out through this channel, and this route must be blocked. The second is to prevent risks; virtual currencies lack borders, but risks are contagious. Otherwise, if something goes wrong abroad, retail investors domestically would have to follow suit, and we must build flood defenses in advance. The second lock is crucial: it tightly limits the issuance of stablecoins pegged to the RMB. The new rules explicitly state that no one is allowed to issue RMB-pegged stablecoins within the country without approval. Why is this? To put it simply, if a wealthy individual prints loan notes claiming that a note can be exchanged for 1 RMB at any time, and everyone starts doing business with this loan note, what does that mean? It means he privately possesses 'the power to print money,' touching the core cake of the central bank. Stablecoins operate on this logic—pegged to fiat currency but issued by private entities. This loophole cannot be opened; not a thread of monetary sovereignty can be relinquished. The third lock continues to seal off 'mining,' strictly prohibiting new operations and comprehensively retiring existing ones. This is like resolutely shutting down a type of high-energy, high-pollution factory that only produces 'virtual chips' for casinos, consuming real electricity and producing highly speculative air, which brings no substantial benefits to the country or its people. Naturally, it is on the elimination list. The fourth lock seals off illegal RWA (Real World Assets). This gets a bit technical, but to put it plainly, it is to prevent anyone from packaging domestic properties and debts into digital tokens to sell to foreigners. Previously, this was a gray area; now it is clear that the vast majority of such practices are essentially illegal securities issuance and illegal fundraising, all of which must be blocked. Finally, a clear warning sign has been established for all individual investors: risks are borne by oneself, explicitly stating in black and white that profits and losses are self-responsible, and no one will catch you if you fall. This is akin to placing a sign by a wild river without lifeguards: 'Danger, swimming prohibited, consequences at your own risk.' The implication is that if you still firmly believe you are the chosen one and must jump in, you cannot expect public resources to rescue you. A mature market cannot accommodate 'winners becoming gods and losers causing a ruckus' giant babies. So, everyone, understand clearly that this round of regulatory upgrades is fundamentally doing three things: the first is sovereignty; we will not cede an inch of currency issuance rights. The second is anchoring; amid global credit chaos, we firmly stand on the side of national credit and physical assets. Lastly, it is about protection; the protection is not for the bets of a few, but for the vast majority who can walk steadily on a solid and flat road.