BTC China made the announcement in a notice on its Twitter-like Sina Weibo account on Wednesday.
The announcement comes two weeks after China's central bank said the country's banks and payments systems were barred from handling the virtual currency.
The exchange said that "due to the reasons that everyone knows, BTC China has to temporarily stop its yuan account recharging functions."
Account holders can still top up their accounts using Bitcoins and withdraw yuan.
The price of Bitcoins tumbled after the announcement.
The measures reflect growing concern by authorities about Bitcoins, which are created, distributed and authenticated independently of any bank or government.