Why did China crack down on cryptocurrency?

As a keen observer of the financial landscape, I'm curious to understand why China has taken such a hard stance against cryptocurrency. Could it be due to concerns over capital outflows, or perhaps the perceived risks of volatility and speculation? It's intriguing to consider whether this decision reflects broader economic priorities, such as protecting the domestic financial system or encouraging the development of its own digital currency. Furthermore, I'm wondering if the crackdown is related to potential security threats posed by decentralized systems or if it's simply a reflection of the country's traditional regulatory approach towards new technologies. Clarifying these motivations would help us better understand the impact of this decision on the global cryptocurrency market.