Chinese Crypto Altcoins: 10 Coins Set to Benefit from Legalization

China has always been a major player in the crypto world—but mostly from the shadows. While its stance has traditionally been restrictive, a recent legal ruling from a Shanghai court is flipping the narrative. For the first time, individual ownership of crypto is legal in China, potentially unlocking a flood of new demand. This is a major shift for the entire Chinese crypto landscape.

This legal change could have a domino effect, unlocking billions in new capital and reigniting local interest in altcoins that align with Chinese innovation, regulation, or consumer interest.

Let’s explore what this means—and which Chinese crypto altcoins stand to benefit the most.

A Turning Point: Crypto Ownership Now Legal in China

In early 2025, a Shanghai court delivered a pivotal ruling: Chinese citizens can now legally own cryptocurrencies.

This verdict, delivered by Judge Sun Jie, states that individuals are free to hold digital assets like Bitcoin and Ethereum. While crypto businesses and token issuance remain restricted, the ruling opens the door to personal investment and use, fueling optimism across the Chinese crypto market.

Historically, China has cracked down on mining, trading platforms, and token launches. But with this shift, millions of retail investors could re-enter the space—not just for Bitcoin, but for native altcoins.

Imagine the impact of 10+ million new users legally entering the market. The resulting liquidity could drive massive rallies in Chinese crypto altcoins.

Here are 10 China-associated altcoins poised to benefit.

1. Filecoin ($FIL) – Decentralized Data Storage with Global Reach

Filecoin is a decentralized storage network launched by Protocol Labs. It enables users to rent out unused storage or purchase space in a blockchain-powered environment. This decentralized approach makes it highly resistant to censorship and more affordable than traditional cloud solutions.

• Offers cheaper, censorship-resistant alternatives to centralized cloud platforms.
• Stores data across multiple locations, improving security and efficiency.
• As Chinese consumers become more privacy-conscious, demand for secure, decentralized storage could rise, making Filecoin a key player in Chinese crypto adoption.

2. VeChain ($VET) – Blockchain-Powered Supply Chain

VeChain is a supply chain-focused blockchain that enhances transparency and efficiency across logistics. With a focus on enterprise adoption, it allows for tracking goods from source to destination in a verifiable way.

• Enables end-to-end traceability of products and materials.
• Strong focus on anti-counterfeiting and product verification.
• Deep partnerships in China—including Walmart China and Bright Food—position it as a critical infrastructure layer within the Chinese crypto and business ecosystems.

3. Nervos Network ($CKB) – Scalable Web3 Infrastructure

Nervos offers a multi-layer architecture designed to support decentralized applications with high performance. Its Layer 1 (CKB) is optimized for security and decentralization, while Layer 2 handles smart contracts.

• Layered architecture enables scalability without compromising decentralization.
• Native support for multiple token standards and programming languages.
• Developed by Chinese engineers, Nervos plays a key role in shaping the backbone of Chinese crypto Web3 solutions.

4. Vanar Chain ($VANRY) – Blockchain Meets AR/VR and Gaming

Vanar Chain, rebranded from Terra Virtua, aims to lead the intersection of blockchain, gaming, and immersive technologies. With AR/VR support, it brings next-gen digital experiences to life.

• Supports gaming, virtual reality, and interactive digital collectibles.
• Offers eco-friendly blockchain infrastructure for creators.
• Positioned to serve Asia’s booming entertainment and gaming sectors, including the rising appetite from Chinese crypto-native gamers and developers.

5. Hooked Protocol ($HOOK) – Onboarding the Next Billion Users

Hooked Protocol focuses on education-based Web3 adoption. Through gamified learning apps like Wild Cash, it rewards users for blockchain literacy and participation.

• Offers Learn-to-Earn incentives for blockchain education.
• Dual-token economy with $HOOK and $HGT for rewards and governance.
• High adoption in Southeast Asia and Chinese-speaking communities makes it a potential gateway for new Chinese crypto users.

6. DODO ($DODO) – Smart Decentralized Exchange for Asia

DODO is a decentralized exchange that improves trading efficiency using its unique Proactive Market Maker (PMM) algorithm. It minimizes slippage and optimizes liquidity.

• Enables token listings with minimal liquidity, reducing barriers to entry.
• Offers developer tools for custom liquidity solutions.
• With roots in China, DODO stands out in the Asian DeFi scene and may become a go-to platform as Chinese crypto users re-enter the market.

7. NEO ($NEO) – China’s Smart Contract Pioneer

Often dubbed the “Ethereum of China,” NEO was one of the first blockchains to offer smart contract functionality in Asia. It aims to digitize assets, identities, and contracts for a smart economy.

• High-speed, low-cost smart contract deployment.
• Dual-token model ($NEO and $GAS) supports governance and transactions.
• Strong domestic developer base and government-friendly image keep NEO relevant in Chinese crypto conversations.

8. Aavegotchi ($GHST) – Gamified DeFi with NFT Collectibles

Aavegotchi blends DeFi and NFTs into a single platform. Users stake interest-bearing tokens into ghost avatars, creating yield-generating digital collectibles.

• Combines gaming, staking, and governance through $GHST.
• Supported by an active Asian community, especially among Polygon users.
• As NFT culture grows in China, Aavegotchi could find new momentum in Chinese crypto gaming niches.

9. Conflux ($CFX) – Compliance-First Blockchain for China

Conflux is a public blockchain tailored for compliance and high performance. Developed in partnership with Tsinghua University, it aligns with China’s regulatory framework while supporting global use.

• Tree-Graph consensus handles thousands of transactions per second.
• Recognized by Chinese regulators and institutions.
• Seen as the most regulatory-aligned project within the Chinese crypto space, with state-backed collaborations.

10. Alchemy Pay ($ACH) – Payment Infrastructure for Crypto-Fiat Integration

Alchemy Pay bridges crypto and traditional finance, allowing businesses to accept crypto while settling in fiat. It’s widely adopted in Asia for retail and e-commerce integrations.

• Used in over 70 countries with a strong presence in Asia.
• Offers off-ramp and on-ramp services tailored to real-world use cases.
• Could play a key role in day-to-day crypto spending as Chinese crypto holders look for real-world utility.

Final Thoughts: Is This the Chinese Crypto Catalyst?

This court ruling marks a turning point for crypto in China. With individual ownership now legal, we may witness a significant rise in user adoption, transaction volume, and capital inflow. The stage is being set for:

• Renewed interest in Chinese-founded crypto projects.
• Government-compliant altcoins to gain preference.
• Infrastructure and education platforms to see user growth.

This legal clarity, while limited, provides the foundation for a more inclusive and expansive crypto environment in China. While the ruling doesn’t endorse exchanges or token issuance yet, it does signal a shift in public policy tone—possibly the first in a series of loosening restrictions.

In the coming years, Chinese crypto innovation may find renewed momentum not just at the grassroots level but also within government-tolerated frameworks. Investors who can anticipate the next moves—like strategic partnerships, infrastructure upgrades, or regional adoption—could stand to benefit the most.

Legal clarity opens the door—but it’s up to projects with strong fundamentals, real utility, and regional support to walk through it. Keep an eye on these 10 altcoins—they may be the biggest winners of this unexpected regulatory shift.