Digital asset ownership legal in China: Shanghai judge
Author: Content Editor
In a ruling by a judge at Shanghai's Songjiang People's Court, it was stated that it is not illegal for individuals to own digital assets under Chinese law. However, businesses are prohibited from investing in digital assets or issuing tokens without authorization as it can disrupt the economy and facilitate financial crime. The judge emphasized that speculative activities in cryptocurrency trading are strongly discouraged due to their potential for illegal activities. The ruling came in a case involving a breach of contract in a token issuance agreement, where the judge ruled that all payments must be refunded as token issuance is considered illegal. Despite China's ban on digital assets since 2017, the country still has a significant presence in Bitcoin mining and Chinese courts have made rulings implying that owning digital assets is protected under the law.