The Jinan Intermediate People's Court in Shandong has released a landmark case clarifying liability in virtual currency investment losses. The case involved a plaintiff, Liu, who entrusted Zhang to invest in "Alpha Coin." Following the platform's involvement in alleged criminal activities, Liu's funds became unrecoverable, prompting a lawsuit for the return of the investment.
The Zhangqiu District Court ruled that, according to a notice from the People's Bank of China and other departments, virtual currency investment transactions are considered illegal financial activities, rendering related civil legal actions invalid. This decision underscores the legal risks associated with virtual currency investments in China.
Chinese Court Rules on Liability in Virtual Currency Investment Losses
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