A Chinese case of a citizen’s lost cryptocurrency illustrates how many Chinese courts are ruling when it comes to digital assets.
Marie Huillet at Cointelegraph reports today on a case in changing province in the city of Jan where someone lost around $10,000 worth of bitcoin
According to the coverage, the accounts holding the cryptocurrency were closed out sometime after Beijing’s crackdown on Bitcoin mining.
“The plaintiff in the case had lost 70,000 yuan (roughly $10,750) by investing in unnamed crypto tokens back in 2017, which friends of his had reportedly endorsed,” Huillet writes. “Following the People’s Bank of China’s doubling down on its anti-crypto measures in 2018, the involved accounts were closed, leading to the loss of the tokens.”
That recent enforcement activity also led many to believe that China was likely to impose greater limitations on cryptocurrency activity, which would really affect Satoshi’s original blockchain, as the majority of Bitcoin mining is done in China.
However, since then, China has not been able to stem the tide of crypto activity.
“The Chinese big firewall is popular across the world as it serves as a great tool for restricting access to information available on the web,” wrote analysts at Markets Legion in June, explaining some of the discrepancy between policy and activities. “However, even though the Chinese government has all these tight measures in place, residents and companies continue to be heavily involved in the cryptocurrency industry, via off-shore entities, or by using apps such as VPNs. Despite an apparent negative feedback loop that could drag on valuations, it does not have a meaningful impact on flows. Some statistics may show that crypto activity in China has dropped, but in reality, most of the local participants are still involved, via other jurisdictions.”
Also, as Huillet reports, other Chinese courts have ruled to protect Bitcoin as personal property.
There’s also the ticker – where Btcoin stands above $50,000 today in new bullish activity, undercutting the narratives that Bitcoin is now toast because of its energy-intensive origins.
“Bitcoin has chalked up an impressive rally ahead of the Federal Reserve’s annual economic symposium in Jackson Hole on Friday,” writes Omkar Godbole at Coindesk. “Analysts say the virtual event could strengthen cryptocurrency’s bullish trajectory.”
What will the Fed say, and how will it affect assets?