Bitcoin

Chinese Court says that Owning and Transferring Bitcoin is NOT Illegal

A Chinese court of arbitration, in a case of dispute, declared that the possession and transfer of Bitcoin is NOT Illegal.

Shenzhen International Court of Arbitration on Thursday published a case analysis of Bitcoinarbitration. In the case, the two parties had an agreement where the defendant was allowed to trade and manage a pool of Cryptocurrencies on the behalf of the other party.

The accuser claims that the defendant refused to return the Cryptocurrencies worth US$493,158.40 which includes 20.13 BTC, 50 BCH, and 12.66 BCD of Crypto assets.

The government of China had banned its citizens from trading in Cryptocurrencies like Bitcoin and investing in Initial Coin Offerings back in September last year.

Now the court declared that contracts, where the parties are obligated to return Bitcoin between each other as long as it is not related to an ICO, is valid. The parties should fully perform the obligations mentioned in the legally binding contract.

The document added:

“Bitcoin has the nature of a property, which can be owned and controlled by parties, and is able to provide economic values and benefits.”

So holding Cryptocurrencies like Bitcoin and even transferring it between two parties is not illegal as long as it not for trading or ICOs according to the interpretation of this ruling.

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