China’s Supreme People’s Court plans new adjudication rules for crypto and cross-border finance disputes.
China's Supreme People's Court announced Wednesday that judicial authorities will conduct in-depth research into adjudication rules for cases involving virtual currencies and cross-border finance. Liu Guixiang, a supreme judge and member of the court's judicial committee, made the statement at a press conference in Beijing.
Liu added that authorities will move quickly to issue judicial interpretations covering civil compensation in cases of insider trading and MarketManipulation. The announcement signals that China's judiciary is formalizing its approach to a growing category of legal disputes, even as trading in cryptocurrencies remains prohibited on the mainland.
The press conference was held under China's "15th Five-Year Plan" framework, which outlines the country's key economic and technology policy priorities through 2030. The plan includes efforts to integrate cybersecurity governance across digital infrastructure in the country's broader economy.
Wednesday's statement builds on a February joint notice issued by China's central authorities that broadened oversight of crypto-related financial activity. That notice reaffirmed the mainland's ban on crypto transactions and extended regulatory restrictions to areas including real-world asset tokenization and offshore yuan-linked stablecoins.
Despite the mainland ban, several Chinese local courts have previously ruled that cryptocurrencies such as Bitcoin (BTC) qualify as virtual property in civil disputes over ownership rights. The February notice addressed this tension directly, stating that civil legal acts involving investments in cryptocurrencies would be considered invalid, and that any resulting losses would fall on the investors involved.
Hong Kong has taken a sharply different approach. In April, the Hong Kong Monetary Authority issued the region's first stablecoin licenses to HSBC and Anchorpoint Financial, and subsequently cautioned the public against fraudulent products falsely claiming ties to those licensed issuers. The HKMA later published consultation conclusions on licensing frameworks for virtual asset advisory and management services, and confirmed it would move forward with finalizing the relevant legislative proposals.
This article contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of CoinMarketCap, and CoinMarketCap is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. CoinMarketCap is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by CoinMarketCap of the site or any association with its operators. This article is intended to be used and must be used for informational purposes only. It is important to do your own research and analysis before making any material decisions related to any of the products or services described. This article is not intended as, and shall not be construed as, financial advice. The views and opinions expressed in this article are the author’s [company’s] own and do not necessarily reflect those of CoinMarketCap.
