Bitcoin has reached a new record high in over 30 currencies this week, including India and Japan (and the euro this morning), but the cryptocurrency's nearing record highs in China has sparked renewed warnings from Chinese state media about the risks of investing in cryptocurrencies, as interest around digital assets remains strong in the country despite a sweeping ban on crypto mining and trading.

As SMCP reports, a rebound in bitcoin prices cannot "hide" the underlying risks of the digital asset, state-owned newspaper Economic Daily said on Sunday.

Wild fluctuations in bitcoin value remain the norm, and cryptocurrencies have yet to enter the mainstream, the article said, adding that regulatory scrutiny of the market remains tight.

Investors should maintain a "clear and rational" mindset, it said.

Bitcoin in Renminbi very close to record highs...

Chinese state media has persistently tried to dissuade people from engaging in cryptocurrency-related activities, as authorities cited risks of capital flight and financial instability.

In September 2021, 10 government bodies escalated the country's crypto ban by jointly declaring a broad range of cryptocurrency-related activities as illegal financial activities.

In 2022, as cryptocurrency prices plunged following a series of company meltdowns, the Economic Daily warned that the prices of bitcoin, which the newspaper called "nothing more than a string of digital codes", could head to its "original value" of zero.

In the same year, executives at Blockchain-based Service Network, a state-backed Chinese initiative pushing for the commercial adoption of blockchain technology, called cryptocurrencies "the biggest Ponzi scheme in human history".

All that sounds very familiar to the narratives of Liz Warren, Jamie Dimon, and Gary Gensler (who of course have no dog in this fight at all).