New ruling aligns Hong Kong with other jurisdictions that deem crypto assets as property. The post Hong Kong Court Recognized Cryptocurrency as Property in Recent Ruling appeared first on Tokenist.
A recent report revealed that a Hong Kong court had ruled cryptocurrencies as property in a case. The ruling was made in a legal dispute involving the crypto exchange Gatecoin, which collapsed in 2019.
Crypto to be Treated Like Stocks in Hong Kong
The High Court of Hong Kong has declared crypto as property in a ruling on Tuesday that involves the now-defunct crypto exchange Gatecoin. According to a report by law firm Hogan Lovells, the court said that crypto assets have property attributes and are “capable of being held on trust.”
In its report, Hogan Lovells noted that the new ruling could provide insolvency professionals with more clarity on crypto assets. The ruling, which marks the first time such a decision regarding digital assets has been made in Hong Kong, reinforces claims by other jurisdictions that crypto has property characteristics like other assets such as stocks.
“Like other common law jurisdictions, our definition of ‘property’ is an inclusive one and intended to have a wide meaning.“
– said Hong Kong judge Linda Chan.
Hong Kong Doubles Down on ‘Virtual Asset Hub’ Plans
Hong Kong’s latest historic ruling comes as the city-state continues to ramp up its efforts to restore its crypto and fintech hub status.
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