The Shanghai Intermediate People’s Court has recognized Bitcoin as a unique digital currency, despite China’s existing ban on cryptocurrency trading.
The court bestowed Bitcoin with a status distinct from other digital currencies because BTC:
Possesses qualities inherent to money, namely it can be stored, used as a medium of exchange, and a measure of value for goods and services.
Enjoys global popularity.
Holds value due to its limited supply of coins.
In China, cryptocurrencies are considered speculative investment instruments. Therefore, the verdict of the Shanghai court contradicts the party’s stance. This decision is based on a resolution issued in May 2022, which states that the law should protect the interests of digital asset owners in cases involving property disputes over purchased, mined, or inherited coins.
