Suzhou Finance and other Chinese authorities have issued warnings about illegal fundraising activities involving stablecoins. The Suzhou Municipal Working Mechanism Office for Preventing and Combating Illegal Financial Activities highlighted that virtual currencies lack the legal status of fiat currencies and that related business activities are illegal in China. They also warned that overseas virtual currency exchanges providing services to Chinese residents are considered illegal. Similar warnings were issued by the Ningxia and Chongqing Anti-Fraud Offices, emphasizing the legal risks associated with virtual currency investments. The Beijing Internet Financial Industry Association also noted five significant risk characteristics of illegal fundraising using stablecoins.