#ukhighcourtruleschineselawgovernsbitcoinclaims
A London Court Just Decided Which Country's Law Will Answer a $5 Billion Bitcoin Question
The coins are in England. The fraud happened in China. This week, a judge said the second fact matters more.
Here's the ruling: in a judgment dated October 12, Mr Justice Turner held that Chinese law, not English law, governs victims' claims to more than 61,000 BTC seized from convicted fraudster Zhimin Qian. The coins, worth around $5 billion, were seized by London police after Qian's investment scheme took money from Chinese investors between 2014 and 2017. About 16,000 victims are pursuing claims. The court reasoned that the scheme and purchases were centered in China, and that tracing the coins to England can't revive property rights that were lost under Chinese law. Critically, the decision doesn't say who owns the bitcoin. Further hearings will take expert evidence on Chinese law, and claimants have signaled an appeal.
Why does this matter? Under English law, victims could potentially have claimed the bitcoin and its large gain. Under Chinese law, reports suggest they may be limited to principal and interest. The ruling also strengthens the UK government's position in keeping the coins, and the FT previously reported that unnamed officials had privately raised their possible fiscal use. It isn't a general rule on crypto ownership, but it highlights how jurisdiction can shape outcomes in cross-border cases.
When assets are digital and borderless but law is not, whose rules should decide? đ€
#bitcoin #UK #law #CryptoRegulation
$BTC $ETH $BNB
BNB
A London Court Just Decided Which Country's Law Will Answer a $5 Billion Bitcoin Question
The coins are in England. The fraud happened in China. This week, a judge said the second fact matters more.
Here's the ruling: in a judgment dated October 12, Mr Justice Turner held that Chinese law, not English law, governs victims' claims to more than 61,000 BTC seized from convicted fraudster Zhimin Qian. The coins, worth around $5 billion, were seized by London police after Qian's investment scheme took money from Chinese investors between 2014 and 2017. About 16,000 victims are pursuing claims. The court reasoned that the scheme and purchases were centered in China, and that tracing the coins to England can't revive property rights that were lost under Chinese law. Critically, the decision doesn't say who owns the bitcoin. Further hearings will take expert evidence on Chinese law, and claimants have signaled an appeal.
Why does this matter? Under English law, victims could potentially have claimed the bitcoin and its large gain. Under Chinese law, reports suggest they may be limited to principal and interest. The ruling also strengthens the UK government's position in keeping the coins, and the FT previously reported that unnamed officials had privately raised their possible fiscal use. It isn't a general rule on crypto ownership, but it highlights how jurisdiction can shape outcomes in cross-border cases.
When assets are digital and borderless but law is not, whose rules should decide? đ€
#bitcoin #UK #law #CryptoRegulation
$BTC $ETH $BNB
BNB