In the context of the current global digital currency trend, Bitcoin, as the most well-known cryptocurrency, has sparked widespread discussion about its speculation. Especially in China, many people have become very interested in the legal issues of Bitcoin speculation. Is Bitcoin speculation illegal? There is no simple answer to this question, but it involves complex relationships at multiple levels, including law, economy, and society.

First, we need to clarify the legal status of Bitcoin. In China, Bitcoin is not considered legal tender. According to the People's Bank of China, Bitcoin is a virtual commodity and cannot be used as a means of payment. The introduction of this regulation makes the legality of Bitcoin more complicated. In this case, whether investors will violate the law when speculating in Bitcoin has become an urgent issue to be explored.

From a legal perspective, Bitcoin speculation itself does not directly violate the law. However, if speculators engage in illegal activities such as fraud and money laundering when conducting transactions, they may violate relevant laws. For example, the frequent exposure of Bitcoin fraud cases in recent years has caused many investors to fall into it and suffer heavy losses. These cases not only harm the interests of investors, but also attract the attention of regulators. In response, the police and relevant departments have stepped up their crackdown on Bitcoin-related illegal activities.

Further analysis shows that investors often face legal risks when speculating in Bitcoin. Due to the lack of a clear legal framework, investors may encounter fraud, information leakage and other problems from trading platforms during the trading process. These problems not only affect investors' returns, but also make them feel at a loss at the legal level. For example, some trading platforms privately conduct Bitcoin transactions without obtaining relevant licenses, resulting in a large number of investors' funds being lost. In this case, it is often difficult for investors to protect their rights and interests through legal means.

On the other hand, the domestic regulatory policies on Bitcoin speculation are also constantly changing. As early as 2017, the Chinese government issued a notice explicitly prohibiting ICO (initial coin offering) and virtual currency transactions. Despite this, there is still a large amount of Bitcoin speculation in the market. This phenomenon not only reflects investors' expectations for the future value of Bitcoin, but also reflects the lag of regulatory policies. Faced with this complex situation, many investors choose to speculate in the gray area in order to gain benefits on the edge of the law.

In this context, many people have begun to pay attention to the legality of Bitcoin speculation. Legal experts point out that Bitcoin speculation itself is not illegal, but investors need to be alert to potential legal risks. In particular, when participating in transactions, it is important to choose a legal and compliant platform to ensure the safety of their funds. In addition, investors should also have certain legal knowledge so that they can take timely measures when encountering problems.

From a social perspective, the prevalence of Bitcoin speculation has also sparked widespread discussion. Some people believe that Bitcoin, as an emerging form of investment, can bring considerable returns to investors and promote economic development; others are opposed to this, believing that Bitcoin speculation is an illegal gambling behavior that can easily lead to social instability. Regardless of the point of view, the discussion about Bitcoin has undoubtedly brought more thinking to society.

In addition, it is worth noting that with the development of technology and changes in the market, the legal supervision of Bitcoin speculation is also evolving. In recent years, the rise of blockchain technology has provided new opportunities for Bitcoin speculation, but also brought new challenges to legal supervision. How to promote the healthy development of the market while protecting the rights and interests of investors has become an important issue that regulators need to face.

In general, the legal status of Bitcoin speculation in China is unclear. There are both legal issues and potential legal risks. When speculating in Bitcoin, investors need to be vigilant and enhance legal awareness to avoid losses caused by blind investment. At the same time, regulators should also increase supervision of the Bitcoin market, improve relevant laws and regulations, and provide investors with a safer investment environment.

The in-depth analysis of Bitcoin speculation not only allows us to see the delicate relationship between law and economy, but also makes us think about how to seize opportunities and risks in a rapidly changing market. In the future, with the development of technology and the maturity of the market, the legal status of Bitcoin speculation may gradually become clear, but before that, investors still need to act cautiously to avoid getting lost in the gray area of the law.

The four most famous international exchanges:

Binance INTL	OKX INTL	Gate.io INTL	Huobi INTL
China Line　APP DL	China Line　APP DL	China Line　APP DL	China Line　APP DL

Note: The above exchange logo is the official website registration link, and the text is the APP download link.

Nowadays, Bitcoin has become the most popular cryptocurrency in the world, so more and more investors are speculating in Bitcoin, especially the recent Bitcoin value has exceeded 100,000, which has also made a large number of newcomers in the currency circle interested in speculating in Bitcoin. Before trading Bitcoin, most investors will be a little hesitant. After all, some countries allow Bitcoin trading, but some countries prohibit it. So, is it illegal to speculate in Bitcoin in China? The following editor of the currency circle will give you an in-depth analysis of whether it is illegal to speculate in Bitcoin in China.
 Is it illegal to speculate in Bitcoin in China?
There is no relevant law. my country has only stopped the on-site trading of Bitcoin, and has not declared that holding or trading Bitcoin over the counter is illegal. The origin of Bitcoin is that the liberals represented by Satoshi Nakamoto sought a trading method that was not bound by the central banking system. These people expected a more free monetary system. This time, Bitcoin was recognized as a digital asset and could be used as a delivery object.
However, according to domestic laws and regulations, Bitcoin does not have the function of currency, but this does not prevent it from being a digital asset and can be used as a delivery object. China has never had a policy of "Bitcoin is illegal".
Kong Jianping said: "The overall policy of mainland China is to support technological innovation and prevent financial risks. In 2013, a document issued by five ministries stated that Bitcoin is a virtual commodity. Ordinary people can freely participate in buying and selling, but financial institutions cannot participate. China does not have a policy that "Bitcoin is illegal." The document issued by seven ministries in 2017 has nothing to do with Bitcoin. We found that in 2017, many leaders of the central bank spoke about the supervision of digital currencies. After July 18, 2019, only two words appeared in all speeches, "research", not "regulation", which is a big change. At the same time, the National Development and Reform Commission also deleted the digital currency mining that was originally planned to be included in the "elimination catalogue."
According to the government's latest attitude towards Bitcoin in 2013: Bitcoin is a private virtual asset of the user, which actually means that it is protected by law. This can also be reflected in actual cases in our country: In 2018, a Chinese court recently ordered a company to repay the stolen cryptocurrency in a civil dispute, setting a legal precedent for cryptocurrency-related disputes. The Shenzhen court actually confirmed that cryptocurrency has economic value in civil disputes.
Of course, the platform you choose to buy Bitcoin is also very important, because this is a relatively unregulated or unlicensed early market. You must choose an exchange with a relatively high degree of internationalization, because it also means that these exchanges have been verified by foreign users and regulations. It is recommended to buy from leading exchanges like ZB to prevent your own financial losses.
 Getting Started with Bitcoin Trading:
As shown in the figure below, there are four people, A, B, C, and D. They all have Bitcoin wallets, and their wallet private keys are held by themselves. The wallet addresses (generated by their respective wallet public keys) are made public on the Bitcoin network for locking and verification of UTXO.
Initially, A gives C 0.7 BTC, and the record in the Bitcoin network is UTXO(1): A gives C 0.7 BTC; B gives C 0.5 BTC, and the record in the Bitcoin network is UTXO(2): B gives C 0.5 BTC. At this time, the account balance of C's Bitcoin wallet is the sum of these two UTXOs, and the total number of Bitcoins of C = UTXO(1) + UTXO(2) = 1.2 BTC. As shown below:
On this day, C bought a batch of goods from D and needed to pay D 0.8 BTC. C transferred money to D through the Bitcoin network, but C's two existing UTXOs were less than 0.8 BTC, so he needed to use both UTXOs together, similar to a cash transaction: he paid D 1.2 BTC, and D gave C 0.4 BTC in change. But in the Bitcoin network, this change was initiated by C himself. The entire transaction process is as follows:
C prepares transaction information through his Bitcoin wallet. The transaction information includes two parts: input and output. The input is UTXO(1) and UTXO(2), as well as C's wallet private key signature (because UTXO(1) and UTXO(2) are locked by C's wallet public key, they need to be unlocked by C's private key signature before they can be used)
The output of the transaction is an unconfirmed UTXO(3): C gives D 0.8 BTC. This new UTXO points to D's wallet public key. After the transaction is confirmed, it will be locked by D's wallet public key. At this time, there is still 0.4 BTC to be given as change to C, so an unconfirmed UTXO(4) needs to be output:
C gives C 0.3999BTC. This new UTXO points to C's wallet public key. After the transaction is confirmed, it will be locked by C's wallet public key. Why is the change not 0.4BTC? Because the Bitcoin network requires that transaction fees must be paid to the Bitcoin network for transaction transfers. The remaining 0.0001BTC does not point to any wallet public key and will be paid as a transfer fee to the miner who packaged the transaction (if there is no change, all the remaining unspecified bitcoins will be paid as a fee to the miner who packaged the transaction, but currently the change work is automatically completed by the wallet, so don't worry).
After the transaction information is prepared, after C's wallet verifies that the transaction is legal (UTXO is legal, the signature is valid, the input and output amounts are valid, etc.), the transaction is broadcast to the Bitcoin network. After the mining node verifies the transaction, it packages the transaction (records the transaction in the Bitcoin block) and broadcasts it to the Bitcoin network, and the transaction is completed.
The old UTXO is consumed and the new UTXO takes effect. At this time, there is an unused UTXO in Ding's wallet (3): C gives Ding 0.8 BTC, and there is an unused UTXO in C's wallet (4):
C gives C 0.3999 BTC.
Through the above introduction, I believe everyone has already understood the question of whether it is illegal to speculate in Bitcoin in China. The editor of the Coin Circle kindly reminds investors not to believe in projects that promise to make you rich quickly in the market, especially in the digital currency circle. If investors like this circle, they must go to a formal one and choose the reliable projects above to avoid losses to their own funds. If you want to know more about this, you can pay attention to the Coin Circle. The editor of the Coin Circle will continue to update relevant reports later!

In the process of Bitcoin speculation, the psychological state of investors is also a factor that cannot be ignored. Many people blindly follow the trend due to their high expectations of Bitcoin returns, which ultimately leads to huge losses. This phenomenon not only reflects the irrationality of the market, but also exposes the lack of legal awareness of investors. Therefore, improving investors' legal awareness and enhancing their risk prevention capabilities have become issues that need to be urgently addressed.