A Chinese news outlet cnLedger confirmed that owing bitcoins is now legal in China. The merchants of the country now can accept and store virtual currency like BTC. This news will now show a remarkable impact in the cryptocurrency space.
As per the official reports of cnLedger, the Shenzhen Court of International Arbitration announced that Bitcoin is now legal in the Chinese market and recognized as an asset in the market. This allows consumers and other business to purchase in BTC without having worry about the financial regulations of the authorities.
The news outlet in their Tweet stated that as per the Chinese court, CN law now doesn’t prohibit the exchange of bitcoin, and because of the nature and economic value of bitcoin, it should be protected by law.
According to Katherine Wu who researches on cryptocurrency, a virtual currency like BTC, as now being a property of the country, is under the protection of the law. Wu further added that due to various legal definitions for digital assets and uncertain regulations, the judge relied on the old law and general provisions of the law in order to determine the contract is still a debate.
However, the government of China had issued much eradication on the crypto market, for example, in September 2017; the government imposed a blanket ban on the crypto trade and Initial Coin Offerings (ICOs). Earlier this year, the regulators earmarked 124 offshore crypto exchanges which at present are providing services for the domestic trading.
Earlier this month, a leading media company of China and the oldest tech publication Beijing Sci-Tech Report (BSTR), has planned to accept BTC for the yearly subscription. This will help in promoting the blockchain and its application in the market.
Apart from this, many hotels in China are accepting cryptocurrencies. Many of which have named their hotels as Ethereum Hotel, giving more benefits and comfort if they pay using Ethereum.