Virtual currency exists legally in China, but it is illegal to use virtual currency to engage in illegal activities. It is illegal to engage in securities, futures and insurance business without the approval of the relevant competent departments of the state, or illegally engage in fund payment and settlement business.

Virtual currency refers to unreal currency. Virtual currency is not issued by the monetary authorities, has no monetary attributes such as legal compensation and compulsion, is not a real currency, does not have the same legal status as commodity currency, and cannot and should not be used as currency in the market. Citizens' investment and transactions in virtual currency are not protected by law.

Criminal law of the people's Republic of China

Article 13

Concept of Crime All acts that endanger national sovereignty, territorial integrity and security, split the country, subvert the people's democratic dictatorship and the socialist system, disrupt social and economic order, infringe on state-owned property or property collectively owned by working people, infringe on citizens' private property, infringe on citizens' personal rights, democratic rights and other rights, and other acts that endanger society are crimes that should be punished according to law, but the circumstances are obviously minor and are not considered as crimes.