Chinese people are already living in isolation since a long time.
You may be confusing North Korea with China.
Banned all business related to Bitcoin while they are leaning towards NFT.
To be fair the businesses they banned were laundering money. If you search bitcointalk everyone was suspicious of Chinese exchanges with 0 fee and a ridiculously high volumes.
As for NFTs, OP just made a fake claim without proof. They banned NFTs with ICOs.