In the past few days, a new policy statement has been issued domestically. At first, I thought it was just business as usual. But then I saw some merchants taking advantage of the situation to create panic marketing and snapping up USDT at super low prices. Honestly, this kind of operation is just baffling.

Let’s get straight to the point.

This time, the policy is really targeting the currency exchange chain centered around stablecoins like USDT. To be honest, after so many years of USDT circulation, over 60% of the capital flow is actually not very clean, often tied to gray areas. There have always been foreign exchange controls in China. Once people discovered that USDT could bypass regulation, just look at places like Zhuhai, Xiamen, and Fujian—see how many people are engaged in cross-border currency exchange businesses.

These practitioners receive funds from all kinds of sources—it could be a transfer from some overseas shell company, and even their USDT suppliers might not know what kind of capital operators are trying to cash out. The anti-illegal card campaigns in recent years have had limited impact on them, because they stopped using the traditional card-to-card transfer methods long ago.

But I digress. The core point is: this wave of regulation is indeed necessary, and those stirring up trouble should have been cleaned up long ago.

The policy mainly targets the group of merchants using USDT for illegal currency exchange. Regular crypto traders shouldn’t scare themselves—it really doesn’t have much to do with you. The market will go on as usual, just don’t get led by the hype.