China: Bitcoin (BTC) has been recognized by another national court as a property , which further strengthens the status of cryptocurrencies in this one of the most difficult legal environments in the world.
Breakthrough for Bitcoin in China?
According to investor Dovey Wan, who is associated with local media, the online court in Hangzhou formally described Bitcoin as a virtual property. It happened exactly on July 18.
The new ruling is part of the dispute between the now-defunct stock exchange and one of its users who lost funds on it.
According to Dovey Wan, the case is a huge breakthrough for the Bitcoin market (and other crypts) in China, where for almost two years there has been a general ban on digital currency trading.
The commentators were so enthusiastic about the verdict that they thought that the BTC / USD pairing that took place on Friday was due not only to positive comments from US lawmakers, but also to Chinese court decisions.
China and BTC
China has long been interested in cryptocurrencies and Bitcoin. This applies to both individual citizens and those who are governing, but who are quite suspicious of the digital currency.
Despite the fact that the cryptocurrency trade was banned two years ago, there was evidence in China that consumers found alternative methods to use traditional exchanges. These include, for example, buying Tether (USDT) stablecoina through over-the-counter transactions.
According to the local English-language newspaper Global Times, the Chinese central bank, the People’s Bank of China (PBoC) – which introduced a ban on cryptocurrencies in 2017 – did not explicitly oppose the Hangzhou decision.
“Indeed, Bitcoin is virtual property, but it is not fiat money”
– said a PBOC official named Li on Friday.
In addition, rumors have recently returned that the central bank of the Middle Kingdom wants to issue its digital currency .
” We started early, but it will take a lot of work to establish our leadership position in this field. “
– summarized Wang Xin, head of research at the Chinese central bank. His words suggest that China will return to work on its stablecoin.