Bitcoin was just recognized as a legal ‘virtual property’ in China. At the hearing of the first property infringement case in China’s Hangzhou Internet Court, Bitcoin was recognized as “virtual property.” According to the court’s order,
Bitcoin holds the attributes as property – valuable, scarce and disposable. We should recognize it as a virtual property.
It was first brought into light by Dowey Wan, Crypto-analyst and Trader who pointed out that,
This case is a major milestone that manifested BITCOIN IS ACTUALLY LEGAL in China so please STFUDup on Bitcoin is illegal in China from now on
The case was between the plaintiff – Wu and the defendant – Shanghai technology company and the defendant – Taobao. The plaintiff accused the defendant of network infringement liability. While the court denied all of the plaintiff’s claim, it was a massive win for Bitcoin in China.
This is because as Bitcoin is recognized as a virtual asset with real value, from now on, it will be protected by the Civil laws in China. These would relate to financial theft, inclusion in contract laws, and other types of disputes like electricity theft. Wan tweeted,
According to “The General Civil Law”, virtual property is legally protected by laws of People’s Republic of China”
Reportedly, it is not because of a recent implementation of any new legislation. It has been for a very long time. According to Xiao Wei, a director of the Bank of China Law Society; In 2013, China clearly defined the legal attributes of Bitcoin itself: specific virtual goods, that is, the status of recognition of its “property.”
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This is big positive news for Bitcoin and Chinese investors who have been living in uncertainty.