China's plan is quite simple. They want to end the petro-dollar and have said countries can sell there oil to Chinese Yuan which they can transfer into Gold.

China also let's people buy Yuan from other Fiat Currencies, but not sell Yuan into other Fiat currencies. It's a one-way direction only.

The reason they have banned ICO's is to stop people transferring Yuan into other things.

What I am saying is basically China is trying to make their currency into the World's Reserve Currency. So if Cryptocurrency stops their plan they will take action against it. They don't care about Cryptocurrency, they just want to stop Chinese people selling Chinese Yuan.

Lastly, Chinese Yuan is a different Fiat currency, it's 'PEGGED' not 'Floating' meaning they have a fixed price and its not moving, this helps keep the yuan down and they can sell all their products cheaply to the world.