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You'd be surprised how many Chinese are using BTC.
Its problems like these (blocking bank accounts) that push them to other alternatives. And as we know BTC is the best alternative.
Also, I will say my time in China I only met a few people who were into "crypto". And I tried to give some BTC to some of my friends, but they weren't interested. I think its to do with having a higher barrier due to the number of scams in all fields of life there.