China has some of the toughest crypto laws anywhere, banning public trading, new coin launches, and mining. Yet, its government-managed Bitcoin stash has quietly grown so large it’s nearly as big as the United States’ holdings.
Experts that China’s government-controlled Bitcoin holdings are around 190,000, mostly seized from criminal activities. This amount is very close to the US government’s stockpile, which is estimated to be just under 200,000 Bitcoin based on public records.
China’s stash of comes mostly from seizures linked to illegal trading sites, money laundering, and scams. When authorities seize these assets, many are consolidated under state control rather than being sold on open markets.
One of the most prominent sources was the 2019 PlusToken Ponzi scheme seizure, which alone involved nearly 194,775 BTC. Much of that multi-billion-dollar haul is still held by the government.
China’s position shows a clear double standard on crypto. The government has a strict public ban in place, forbidding its citizens from trading, mining, or using crypto exchanges without permission. Officials say this is to prevent financial risks and illegal money flows, a rule that has been law since 2021.
At the same time, government bodies have kept huge amounts of Bitcoin seized from criminals. This shows that officials see Bitcoin as a valuable financial holding, even though private citizens and companies are not allowed to use it.
In case China ever sold or started using its huge Bitcoin supply, it could very well shake up the global market. Experts have often wondered if and when this might happen, especially when the global economy is under stress, leading to talk of government auctions or other big financial moves.
Interestingly, even with the official ban still in place, Bitcoin mining has made a comeback in China. By late 2025, underground mining operations are reportedly responsible for 14% to 20% of the global hashrate, thanks to cheap electricity and ongoing demand from miners.
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