The Shanghai High People's Court has pronounced that bitcoin qualifies as a virtual asset protected by Chinese regulation regardless of the restriction on cryptocurrency exchanging in China, Sina detailed on Friday.

The court’s official Wechat channel posted a notice last week stating: "In the actual trial practice, the People’s Court has formed a unified opinion on the legal position of bitcoin, and identified it as a virtual property."

Elaborating on the same the court said that bitcoin “…has a certain economic value and conforms to the property’s attributes, the legal rules of property rights are applied for protection.”

China High Court for the first time has given a ruling concerning a bitcoin case by this statement.

The court had to make a statement about Bitcoin because of a case. Cheng Mou had supposedly filed a case again Shi Moumou with the Shanghai Baoshan District People's Court. While this was back on Oct 10, 2020, Shi Moumou was expected to return one Bitcoin to Cheng Mou. As not a single one of them came near a settlement, the high court was additionally encouraged to reach out.

After the preliminary, the court ruled on Feb. 23, 2021, that Shi should reimburse Cheng his Bitcoin within something like 10 days of the judgment. Nonetheless, Shi wouldn't make the payment, inciting Cheng to look for an additional review from the local court framework.

As the globe has been moping over the most recent downturn that the crypto market is in, this news came as a great relief. Moreover, this came as a shock to numerous as the Chinese government keeps on keeping the ban on crypto exchanging.

Joyashree Dey

CBW - External Analyst

INDIA