China side of the prediction

Since the podcast (May 2021), China has moved from partial restrictions to a comprehensive legal ban on above‑ground Bitcoin use:

• On 24 September 2021, the People’s Bank of China declared that all cryptocurrency transactions are illegal financial activities, explicitly including Bitcoin, and banned financial institutions, payment companies and internet platforms from facilitating crypto trading or related services. Overseas exchanges were also barred from serving mainland users. This effectively shut down legal, regulated crypto trading and payment activity in mainland China. (theguardian.com)
• China also ordered a crackdown on crypto mining, driving miners and exchanges offshore and removing Bitcoin from the formal, regulated financial system. (euronews.com)
• As of 2025, the People’s Bank of China continues to state that virtual‑currency business activities are illegal financial activities and reiterates that trading and related services remain banned, even while acknowledging some underground mining/speculation. This confirms the ban is still in force and focused on suppressing legal, above‑ground usage. (reuters.com)

So, while underground and offshore use persists, the legal/official use of Bitcoin in mainland China has been effectively stopped, matching the first part of Jason’s prediction.

Western countries side of the prediction

In contrast, Western governments have not "stopped" Bitcoin usage; instead they have moved toward regulation and even integration:

• The European Union adopted the Markets in Crypto‑Assets (MiCA) regulation, a comprehensive framework governing issuance, trading, and custody of crypto‑assets, in force since late 2024. MiCA explicitly regulates rather than bans Bitcoin and other crypto, enabling licensed service providers across the EU. (en.wikipedia.org)
• Under MiCA, European firms like Bitpanda and major banks such as BBVA have obtained licenses to offer Bitcoin trading and custody services to retail clients, demonstrating that legal, mainstream Bitcoin use is being facilitated, not shut down. (cincodias.elpais.com)
• In the UK, the Financial Conduct Authority in 2025 reversed its earlier stance and allowed retail access to regulated Bitcoin and Ether ETNs on the London Stock Exchange, again tightening rules but not prohibiting Bitcoin. (ft.com)
• In the United States, instead of banning Bitcoin, the federal government has moved toward formal integration, including establishing a Strategic Bitcoin Reserve and broader digital‑asset stockpile, explicitly positioning the U.S. as aiming to be a global crypto hub. (en.wikipedia.org)
• Global overviews of crypto bans show that complete prohibitions are concentrated in countries like China, Algeria, Nepal, and others, with no blanket bans across major Western economies (U.S., Canada, EU, UK, Australia, etc.). Western approaches are generally restrictive/regulatory rather than prohibitive. (euronews.com)

Given that (1) China has indeed eliminated legal, above‑ground Bitcoin use in mainland financial channels, while (2) governments in the U.S., EU, UK and other Western countries have not banned Bitcoin but instead regulated or even adopted it, Jason’s prediction matches the subsequent reality.

Therefore the prediction is right.