The Shanghai High People’s Court classified Bitcoin BTC/USD as virtual property protected by Chinese law despite a nationwide cryptocurrency trading ban still in place.
What Happened: According to a report from local publication Sina last week, the Court issued a statement on its official WeChat concerning a recent ruling in a Bitcoin-related case.
“In the actual trial practice, the People’s Court has formed a unified opinion on the legal position of bitcoin, and identified it as a virtual property,” the court stated on WeChat.
It also noted that Bitcoin has “a certain economic value and conforms to the property’s attributes” and thus should be treated as property for legal purposes.
See Also: IS CRYPTO BANNED IN CHINA?
The statement was made in relation to a case involving a Bitcoin-related dispute between two individuals.
Mr. Cheng Mou filed a lawsuit with the Shanghai Baoshan District People’s Court in October last year demanding that an individual named Shi Moumou return his 1 BTC.
The Court’s ruling could be particularly significant for ongoing and future civil disputes relating to cryptocurrency across China. In August, the Supreme Court of the northern Shandong province in China ruled that “cryptocurrency is not protected by law.”
Price Action: According to data from Benzinga Pro, Bitcoin was trading at $27,800, down 11% over 24 hours.
See Also: What Crypto Ban? Chinese Users Are Really Curious About The Terra (LUNA) Fiasco And Bitcoin Crash
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