China Passes Civil Code about Cryptocurrency Inheritance in China


The 13th National People's Congress in
China has passed a historic and long-awaited civil code about ‘Cryptocurrency
Inheritance’ in China.
The Chinese legislatures voted in the
majority for passing “the Civil Code of the People's Republic of China” which
includes real rights, personality rights, marriage and family, contracts,
inheritance, and tort liabilities. This is China's long-awaited civil code
which also expands includes top cryptocurrency such as Bitcoin. Several
provincial courts have protected Bitcoin and Ethereum under the properties law
in recent years.
The Civil Code of China states that, “When
a natural person dies, the legacy is the personal legal property left by she /
he.”
Last month, China’s intermediate people’s
Court had considered Bitcoin as foreign virtual property and ordered to return
the virtual property to the lawful owners.
In 2019 Hangzhou province court Bitcoin as
a virtual property in a between a Crypto exchange and its customers seeking
millions of damage.
While passing the law, Wang Chen, Vice
Chairman of the Standing Committee of the National People’s Congress, addressed
the session which states:
“The compilation of the civil code is an
important component of the plans of the Communist Party of China (CPC) Central
Committee with comrade Xi Jinping at the core for developing the rule of law.”
He further informed that the civil code
will come into effect from 1 January 2021.
In recent months, China has gained momentum
in testing its central bank digital currency (CBDC) and has been conducting
pilot tests in various cities.
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Jayashree Ingle
CBW - External Analyst
INDIA