Latest Legal Tender News

  • China Didn’t Ban Bitcoin Entirely, Says Beijing Arbitration Commission
    China Didn’t Ban Bitcoin Entirely, Says Beijing Arbitration Commission
    Bitcoin-related activities are not prohibited by the Chinese government as the cryptocurrency acts as a virtual commodity. China, one of the world’s most strict jurisdictions for cryptocurrency trading, has not completely banned Bitcoin (BTC), a local non-profit arbitration organization says. According to a July 30 report published by the Beijing Arbitration Commission (BAC), China's prohibition of Bitcoin is more nuanced than some have suggested. Bitcoin does not constitute money in China In the report, the BAC clarified China's legal stance on cryptocurrencies like Bitcoin and outlined major crypto-related activities that are prohibited by the government.  According to the BAC, China prohibits token funding and trading platforms from engaging in exchanges between the legal tender and virtual currency or tokens. The commission then states that the same law that bans cryptocurrency as money, recognizes it as a virtual commodity.  Furthermore, existing laws are, according to the BAC, not specific enough to regulate Bitcoin as virtual property: "The "General Principles of Civil Law" do not make specific provisions on the extension and connotation of virtual property, but only stipulates that the protection of virtual property must be stipulated by law, and the specific protection measures of virtual property are entrusted to other laws.
  • Christophe Cieters: Monopoly Money
    Christophe Cieters: Monopoly Money
    As money developed and people opted to place it in secured storage, banks started issuing banknotes which represented a client’s deposit at the bank and the promise to redeem each note for the amount of gold it represented at a 100% reserve rate.