China’s crypto landscape witnessed a series of significant developments over 26–27 November 2025, highlighting a renewed surge in mining activity, rising demand for hardware and growing concern among traders after a major stablecoin downgrade. Despite the country’s formal ban on cryptocurrency trading and mining, the latest indicators suggest that underground or semi-covert digital asset activity continues to expand in key regions.
China’s Bitcoin mining share climbs again
China has re-emerged as a major force in global Bitcoin mining, regaining an estimated 14% share of total hashrate as of late November. Despite the nationwide ban on mining imposed in 2021, operations have quietly resurfaced in provinces with abundant cheap electricity and unused industrial infrastructure. The renewed activity suggests that miners continue to find ways to operate discreetly while benefiting from favourable local conditions.
Mining rig demand surges across the domestic market
Domestic mining hardware manufacturers have reported a sharp rise in sales over the past month, signalling growing interest among Chinese buyers. The demand reflects both existing miners expanding their facilities and new entrants exploring opportunities in covert mining setups. The increased hardware purchases closely align with the rise in China’s underground mining footprint.
Stablecoin downgrade triggers unease among Chinese traders
A significant downgrade of a widely used stablecoin created noticeable concern among crypto traders in China, particularly within informal trading networks. With many underground users depending on stablecoins for liquidity, transfers and offshore exchange access, the downgrade led to increased caution and discussions about market stability. The development highlights the sensitivity of China’s shadow crypto economy to global stablecoin movements.
Ban remains in place, but enforcement appears inconsistent
While China’s official stance on cryptocurrency mining and trading remains unchanged, recent developments point to uneven enforcement across regions. Provinces with surplus energy and strong industrial bases appear more tolerant of low-visibility mining activity. This lack of uniform enforcement has created pockets where mining can flourish despite national restrictions.
Underground crypto activity continues to expand
The past 24–48 hours underscore that China’s crypto presence is far from dormant. Rising hashrate, increased hardware demand and volatile trader sentiment all point to a crypto ecosystem operating beneath the regulatory surface. Even as the government advances its digital yuan initiative, underground crypto markets remain active, adaptive and resilient.
Disclaimer: This article is for general information only and does not constitute financial advice.
