Crypto Firms Face China's Tougher Stance as Singapore Sees Growth
China's Ministry of State Security has issued a warning that cryptocurrencies can be used as an espionage tool, and also facilitate money laundering, cyberattacks. The ministry stated that 'overseas anti-China hostile forces' use crypto to disrupt financial order and harm national security.
The warning comes after China imposed bans on cryptocurrency exchanges in 2017 and mining in 2021. Market participants are now expecting increased enforcement of compliance expectations as regulators emphasize that crypto is not truly anonymous.
Meanwhile, Singapore's crypto market has seen growth, with Chainalysis data showing a 55.4% increase in crypto economic activity to $284 billion in the year ended June 2026. This makes it the largest crypto economy in Central and Southeast Asia and Oceania (CSAO).