The Court Has Made Its Decision About the Status of Cryptocurrencies!

Bitcoin (BTC) And cryptocurrenciesThere is no clear decision on whether it is a security or a commodity.

While this issue continues to be discussed in the USA, a court in Hong Kong has been using cryptocurrencies in a case related to the cryptocurrency exchange Gatecoin, which was closed. “property” defined as.

According to the news of Coindesk, the law firm Hogan Lovells has tried the court for cryptocurrencies. “goods that can be safely held” He said he used his words.

With this decision, cryptocurrencies were defined as “property” on par with other intangible assets such as stocks and stocks.

Linda Chan, the judge of the court, stated that the property should be interpreted in a broad sense. cryptocurrencydescribed them as property.

Hogan Lovells, who stated that this decision was a landmark, said in his report:

“In 2019, the cryptocurrency exchange Gatecoin announced its closure.

The liquidators, who started proceedings after this news, asked the court for clarity on whether cryptocurrencies are a fiduciary property.

Judge Linda Chan began by examining the nature of blockchain technology and cryptocurrencies, the types of digital wallets operated and controlled by Gatecoin, and the way digital assets are transferred from one wallet to another during business.

Commenting broadly, Linda Chan decided that cryptocurrencies are “property” and can be the subject of a trust.

While the court said that cryptocurrencies, by their very nature, could constitute the subject of a trust, it found that a trust was not established on specific grounds in the Gatecoin case.”

Commenting on the court’s decision, the Hogan Lovells law firm stated that this decision will provide liquidators with greater clarity on how to handle cryptocurrencies.