The arbitration court in China has ruled that, despite the ban of the Central Bank on the cryptocurrency trading in tandem with the Chinese yuan, bitcoin should be legally protected as property of economic value.
South China branch of China international economic and trade arbitration Commission in Shenzhen in the case of cryptocurrency held that the PRC laws do not prohibit to own and transfer the bitcoins, so they are protected by the law on property and economic values.
Also, according to representatives of the arbitration Commission, residents of China have the right to send/receive bitcoins, and the protection of these rights the state must provide, as the first cryptocurrency has economic value and has the properties of ownership.
The arbitration court added that in China there is no law prohibiting the possession of bitcoin and make transactions with its use between individuals. In addition, the court found that in China, there should be no technical difficulties to send bitcoin, if a person has a public bitcoin address and private key.
Thus, the court came to the conclusion that bitcoin, being or not being legal tender, must be legally protected on the basis of Chinese contract law.
“Bitcoin has the characteristics of a property that can be owned and controlled by the parties, and can provide economic value and benefits for owners.”
We will remind, by results of the analysis of China’s influence on Bitcoin, it became known that the “Golden Shield” (Great Chinese firewall) that filters the entire Chinese Internet traffic, it dramatically slows down the work of the bitcoin blockchain.
Note that, according to this same study, the growing influence of China in key infrastructure Bitcoin also gives his government the opportunity to seriously affect, or even destroy, the main cryptocurrency.