Stablecoins Classified Under Virtual Currency Regulation: An Expert's Perspective
AI Summary1 min read
TL;DR
Stablecoins are classified as virtual currency, not prohibited items, subjecting them to regulation to prevent currency substitution and cross-border arbitrage. Crackdowns on illegal activities are reducing the domestic stablecoin ecosystem.
Tags
stablecoinsvirtual currency regulationcurrency substitutioncross-border arbitragecryptocurrency crackdown
Zhao Binghao, a law expert, says stablecoins are categorized as virtual currency, not "prohibited items" in criminal law. This categorization brings stablecoin-related activities under regulatory oversight to block currency substitution and cross-border arbitrage channels. Current crackdowns on virtual currency-related illegal activities are shrinking the domestic stablecoin ecosystem.
