Owning, Occasionally Trading Bitcoin Is Legal in China, Prominent Lawyer Argues

Sa Xiao, a Council Member at the Bank of China Law Research Association, has recently argued that both owning and “occasionally” trading bitcoin in China is legal, as the country’s regulations currently don’t outright ban cryptocurrencies.

Speaking to local news outlet Beijing News, Xiao argued China’s regulations of virtual property include the right to trade as the owner sees fit. The lawyer’s views are in sharp contrast to those revealed by Chinese authorities, who have banned cryptocurrency trading, initial coin offerings, and more.

He noted that while owning cryptocurrencies has never been illegal in the eyes of Chinese authorities, it may be possible to be punished for dealing with cryptocurrencies. Specifically, he noted that running a BTC trading business that leads to client losses may lead to a punishment according to criminal law.

Notably, the Shenzhen Court of International Arbitration has late last year ruled cryptocurrencies like bitcoin should be protected by law as property, in a case that saw two parties dispute cryptocurrency possession at the end of a contract.

Similarly, the Shanghai Hongkou District Court in China recognized cryptos, including ether, should be protected by law, in a case where a defendant refused to return 20 ETH to an ICO investor.

Xiao didn’t specificy what could be seen as “occasional exchange” or more between individuals, nor did he point towards any figures in specific.

Earlier this year, it was reported the Chinese government was looking to ban all cryptocurrency mining in the country, in a move that would severely affect mining firms taking advantage of cheap energy in some of China’s regions.

Local investors’ interest in cryptocurrencies like bitcoin has seemingly been growing, so much so some believe bitcoin’s recent surge to test the $8,000 mark was aided by Chinese buyers. This, as the crypto’s rise coincided with US President Donald Trump announcing tariffs on hundreds of billions of dollars worth of Chinese goods.

Recently Garrick Hileman, a Macroeconomics Researcher at the London School of Economics (LSE) and the head of research at Blockchain.com, noted that the value of the Chinese yuan appears to be inversely correlated to that of bitcoin.

Deloitte Luxembourg to Trial Bitcoin Payments for Staff Lunches

Neil Dennis

Deloitte, one of the so-called "Big Four" audit and consulting firms is to allow its staff to pay for their lunch in bitcoin, the Luxembourg Times reported on Tuesday.

While the firm does not plan to allow clients to pay for its services in bitcoin in the near future, the company said it was pleased to allow the lunchtime trial for its staff to "assess this new technology" in the company canteen.

While it doesn't transact in bitcoin, Deloitte has been active in developing blockchain technology for its fund management business.

PwC to Accept Bitcoin

The Luxembourg branch of Big Four rival, PwC, announced in early September it would accept bitcoin payments from its clients from the beginning of October. 

PwC said in a press release it was making the move to acknowledge the needs of its clients and the increasing adoption of crypto in Luxembourg. It added:

Our role is to lead and it is only by being an active leader with exposure that we at PwC Luxembourg can understand the challenges inherent to the crypto world.

 

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