According to CoinMeta, as reported by BeInCrypto, China is closing hundreds of banks. The latest annual statistics show that a record 670 banks have closed, mainly small rural banks that have been acquired by larger banks, resulting in a 23% reduction over the past four years, with only 3,139 banks remaining currently. Fitch Ratings indicates that banking issues are not usually limited to local areas. When Silicon Valley Bank collapsed in 2023, the stock price of First Republic Bank plummeted by more than 60% in one day, while Bitcoin rose by nearly 10%. Fitch believes that although the non-performing loan rate for small banks reached 2.8% in the first half of the year, and the overall non-performing loan rate for all banks was 1.5%, the risk of contagion is not high. Nevertheless, regulators still need to proceed with caution to avoid disrupting financial markets and depositors' confidence.