It is still referred as they "may" try to block all the bitcoin transaction. They haven't started it yet so I see no reason to worry as of now. Also the way Chinese government is trying to crack down the exchanges and fundraising activities, I believe most of the Chinese bitcoin users have moved to VPN and TOR services. So it will be a little difficult for the government to block the transactions.

Also Chinese government can't shut the blockchain to be accessed from another countries. So I see a very little possibility of this news turning into reality. Just don't panic and refrain from sharing such possible future events which may make some people worried about bitcoin. Look at the sunny side, Japan has already given out license to CoinChek exchange.