A pretty old topic but I was offline in those days, anyway coming up to the topic China is going to regulate the crypto market is this rumor real or fake? it's hard to say as China can regulate the crypto market if there are any short-term of long-term gains within their economic policy and if there nothing for them they are not gonna give a spotlight to Bitcoin, from years China manuplated the crypto market based on their major announcement with regulatory developments and most of the times all of them are negative.

I'm sure I've covered the History of China with Bitcoin in a dedicated topic, it's not active now but for the valuable comments you can visit that thread, I've covered some major events with Bitcoin and the crypto market where the market got manipulated by China. My comment is that China is unpredictable if there is any gain for them they are gonna most likely to do that but according to my knowledge, they are more concerned about promoting their digital Yuan across the world.

Bitcoin & China time to time waving History

I don't want to discuss rumors and gossips. There's no clear evidence that China is going to impose crypto-friendly regulations anytime soon.
Authoritarian and totalitarian regimes will always remain hostile towards cryptocurrencies. Maybe there are smart politicians in China, who understand that keeping crypto in the "grey zone" won't bring any benefit, but I wouldn't bet on China becoming crypto-friendly.
No country in the world can ban the ownership of Bitcoin completely. This should be a cautionary tale for the Chinese Communist Party.

If speculation are going around then that is a good sign for bitcoin and since their countries thay have made it a legal tender but china was at some point against bitcoin and that is why the news looks surprisingly funny but this is crypto were anything is very much possible. And their are chances that this might be true and their are chances that it might not be true, China is one country that have their things done differently, the last thing that I would have seen china do is to accept bitcoin as a legal tender because they have cherished their currency for so long, and if they should allow people accept bitcoin as a legal tender then it will be a good new for bitcoin, and it will reflect.

Bitcoin is special and Asian people are so attached to tech and even without their country full approval for sure a lot of them are into bitcoin, and the government won't have a choice than to accept what ever is going on, given a law to restrict people from investing in bitcoin will just make everything worse because people have already find passion in bitcoin, no matter how they frowned they can not stop people from investing in bitcoin, bitcoin did not start today and people are already open to the profit they are getting from it so stopping it now is going to be harder than starting it.

Legalizing bitcoin will have no bearing or negative impact on the development of their CBDC, if they just legalize bitcoin as a commodity or asset. Legalizing Bitcoin is to catch up with the world trend because bitcoin is gradually becoming more popular and if they do not want to be obsolete, they need to act promptly. 

Many people don't believe China will lift the ban and legalize bitcoin but I wouldn't be surprised if they suddenly make that announcement because things are very different from years ago when they banned bitcoin. Bitcoin ETFs have been approved and the US is trying to take over the industry, I don't think China will let the US take over the whole industry. I guess they will act soon, they have to legalize it for the future.

Yeah, but at least China - may - work around these tools you are talking about, but with BTC-  they may not, for now  That's why they wouldn't push the BTC adoption and, in their eyes, it's better yet to do something themselves rather than going for BTC, in my opinion. They have the resources.

China is one country in the world with a very good population in terms of numbers, and that's a positive side for bitcoin having even just a two third of that country's population having to use bitcoin under a supposed legalization by the government.

My take on why most of these countries find it hard to make bitcoin a legal tender yet is vividly not exclusive to their fear of having their national currency utility base in competition. Especially with a digital currency that is unregulated (decentralised).

Bitcoin as a legal tender is weigh out of league if you ask me, there's actually more to contribute and more to emphasized on in the space. Most countries do not welcome the idea of making bitcoin a legal tender because that's absolutely ruining every means of general fiat currency although some of these countries have started adapting to the new phase of the world Change. They trying to implement new principles and new language of making money and it definitely suits some and doesn't suit some. Personally, I do concord with your view and opinion on bitcoin orientated discussion. Bitcoin is very important in the present age and we know how everything do planned out for those category of people that are patient enough for their investment in bitcoin.