Connect with us

Published

on

China to protect NFTs 

In a surprise move, the Chinese government has guaranteed legal protection for NFTs.

In response to a series of often conflicting judicial opinions on the state of cryptocurrency in the country, the Chinese government has officially issued a legal commentary on dealing with cases of nonfungible tokens (NFTs) theft and their status as virtual property protected by law. 

According to a Nov. 9 publication by China’s state-controlled Southwest University of Political Science and Law (SUPL), digital collectibles such as NFTs — unlike ordinary online images — conform to the characteristics of online virtual property due to their non-tamperable features, unique codes and detailed transaction information.

“This highlights the scarcity of digital collections, which have both use value and exchange value,” jurists write. “According to Article 127 of the Civil Code, it can be seen that from the perspective of civil law, online virtual property is regarded as an object of rights that ‘is different from property rights, creditor’s rights, intellectual property rights, etc. and is protected by civil law’.”

In addition, jurists state that the theft of NFTs, therefore, carries applicable criminal penalties, which can be evaluated in conjunction with related offenses committed during the course of the theft, such as hacking into computer systems or data theft.

“Digital collections have technical characteristics that cannot be copied, indicating that the holder has exclusive control. If the digital collection is stolen by others, the holder loses exclusive control,” jurists from SUPL say.

“Although our country has not yet opened the secondary circulation market for NFTs, consumers can rely on the trading platform to complete operations such as purchase, collection, transfer, and destruction, and achieve exclusive possession, use, and disposal rights.”

China has seen a rise in civil disputes this year involving cryptocurrencies, with some courts ruling that virtual assets are protected by law and others saying they are not. Last month, Chinese government-owned newspaper China Daily announced a 2.813 million Chinese yuan ($390,000) grant for third-party contractors to design an NFT platform. In May, Chinese prosecutors announced they would crack down on “pseudo-innovations” within its NFT market.

Chinese judge explains why the Bitcoin lending contract was invalid and therefore denied relief for breach of contract.
A Chinese judge explains that according to current laws, parties in a crypto lending contract are not entitled to judicial protection.

Bitget’s to invest in India 

Cryptocurrency exchange Bitget will invest $10 million over five years in startups primarily based in India. 

According to the Nov. 7announcement, startups will have the opportunity to pitch to Bitget and venture capitalists including Sequoia Capital, Lightspeed Ventures, and Draper Labs, during the BUIDL for Web3 multichain summit in India.

“Bitget aims to identify valuable and promising projects in the crypto space and provide them with comprehensive support, accelerating innovation in emerging technologies,” the exchange says. To qualify, projects must have a minimum viable product and hold multiple layers of security functionalities with auditing transparency.

Gracy Chen, Bitget’s managing director, says that India is “the most wanted place to invest in Asia,” citing its constant advancements in blockchain and overall entrepreneurial spirit. The exchange’s previous investments in Indian Web3 startups include AI-based script generator Grease Pencil, AI resume generator HAIr, and AI dermatological app Derma360.

Read also


Features

Crypto PR: The good, the bad and the shoddy


Features

Are CBDCs kryptonite for crypto?

Linekong’s $15M Bitcoin Fund

Linekong Interactive, a Chinese tech firm listed on The Stock Exchange of Hong Kong (HKEX), will kickstart a $15 million fund dedicated to revitalizing the Bitcoin (BTC) ecosystem. 

Accordingto founder Wang Feng, the new fund is dubbed “BTC Next” and will accelerate novel projects developing asset issuance, exchanges, virtual machines, NFTs and GameFi protocols on the Bitcoin blockchain.

“BTC NEXT will participate in the research and investment of Bitcoin network ecological assets as early as possible, publish crypto investment portfolios regularly, and update the list of Bitcoin ecological crypto assets participating in investment,” Wang writes.

The Bitcoin ecosystem has expanded greatly this year with the invention of Ordinals and Inscriptions, two novel data storage methods that, together, allow users to mint unique digital assets on the Bitcoin blockchain. The market cap of Bitcoin tokens minted on the BRC-20 standard, mirrored after the Ethereum ERC-20 standard, has surpassed $1.4 billion since inception.

Linekong was founded in Beijing in 2007 with a focus on video games and cinema. In 2018, Wang Feng resigned as CEO of Linekong to focus on blockchain, founding several projects in the nonfungible tokens, decentralized finance, and Bitcoin mining space. He returned to Linekong as CEO in 2022 after an invitation from the firm’s board of directors to better integrate Linekong products with Web3.

The Ordinals Timeline
The Ordinals timeline. (Originals Bot)

SEBA Bank approved in Hong Kong 

Swiss fintech SEBA Bank has received a license from Hong Kong’s Securities and Futures Commission (SFC).

The license permits SEBA Bank to conduct regulated activities in Hong Kong and distribute virtual asset-backed securities, advise on crypto assets, and manage crypto investment accounts on behalf of clients. It also permits SEBA Bank to distribute, manage, and advise on traditional securities, such as stocks. 

“Hong Kong has been at the center of the crypto economy since Bitcoin’s inception, and we are very pleased to have added this Hong Kong license with the full approval from the SFC to our existing licenses in Switzerland (FINMA) and Abu Dhabi (FSRA),” comments SEBA Bank CEO Franz Bergmueller. Meanwhile, Amy Yu, the firm’s Asia-Pacific CEO, praised the SFC for creating a “facilitative” environment during the licensing process.

Cointelegraph previously reported that SEBA Banklaunchedinstitutional Ethereum staking services in September. In early 2022, the firmraised $119 millionin a Series C funding round.

The Hong Kong Web 3.0 Festival gallery hall (Twitter)
The Hong Kong Web3 Festival gallery hall (Twitter)

Zhiyuan Sun

Zhiyuan Sun is a journalist at Cointelegraph focusing on technology-related news. He has several years of experience writing for major financial media outlets such as The Motley Fool, Nasdaq.com and Seeking Alpha.

Continue Reading

Politics

Crypto execs fork over cash at Trump’s ballroom fundraiser: Report

Published

on

By

Crypto execs fork over cash at Trump’s ballroom fundraiser: Report

Crypto execs fork over cash at Trump’s ballroom fundraiser: Report

Representatives from Gemini, Ripple and Coinbase were reportedly in attendance at the fundraising dinner at the White House on Wednesday evening.

Continue Reading

Politics

Government delays Chinese super embassy decision again

Published

on

By

Government delays Chinese super embassy decision again

The government has again delayed making a decision on whether the Chinese super embassy can go ahead.

New Housing Secretary Steve Reed, who took over from Angela Rayner, was due to approve or deny Beijing’s application for a 600,000 sq ft embassy near the Tower of London next Tuesday.

However, the decision has been delayed to 10 December, “given the detailed nature” of the planning application, and the need to give parties sufficient opportunity to respond”, the prime minister’s spokesman confirmed.

He added that the new deadline is “not legally binding”.

Politics latest: Senior MP hits back at ‘patronising’ CPS lawyers

The spokesman denied the postponement was politically influenced and said it was “very much bound by the quasi-judicial” nature of planning law.

The delay comes the day after the government published witness statements it provided to prosecutors in the China spy trial that collapsed, prompting a blame game over whose fault it was that it dropped.

A decision had already been delayed from 9 September to 21 October after China submitted plans with large greyed-out sections, which said: “Redacted for security reasons.”

Explainer: Everything we know about China’s new ‘super embassy’

The basements in most of the buildings have been greyed out 'for security reasons'. Pic: David Chipperfield Architects
Image:
The basements in most of the buildings have been greyed out ‘for security reasons’. Pic: David Chipperfield Architects

What are the concerns about the embassy?

It has become controversial due to concerns about it being turned into a Chinese spy hub for Europe and the fact highly sensitive financial cables run beneath it to the City of London and Canary Wharf.

The decision to delay again was made after the national security strategy committee wrote to Mr Reed on Monday saying that approving the embassy at its proposed site was “not in the UK’s long-term interest”.

Committee chairman Matt Western, a Labour MP, said in the letter the location presents “eavesdropping risks in peacetime and sabotage risks in a crisis”.

Read more:
MI5 boss says China plot disrupted in past week
The Chinese exiles with £100k bounties on their heads
Three key questions about China spy case

Tower Hamlets Council rejected China’s initial planning application in 2022 to turn Royal Mint Court, where British coins were minted until 1975, into the largest embassy in Europe over security concerns and opposition from residents.

Beijing did not appeal the decision after making it clear it wanted Conservative ministers to give assurances they would back a resubmitted application – but the then-Tory government refused.

Eleven days after Labour won the election last July, the application was resubmitted in nearly exactly the same form, and was soon “called in” by Ms Rayner for central government to decide.

Please use Chrome browser for a more accessible video player

Will China super embassy be built?

Conservative shadow housing secretary Sir James Cleverly accused the government of having “actively sought to silence the warnings” about the threats to national security from the embassy.

“It is essential the planning review has access to the full unredacted drawings for the Chinese embassy, and that the UK security agencies are able to submit evidence in private, using established processes,” he said.

“If Keir Starmer had any backbone, he would ensure his government threw out this sinister application – as Ireland and Australia did when faced with similar embassy development proposals from Russia.”

What has China said about the concerns?

In August, the Chinese embassy in the UK said the planning and design was “of high quality” and the application had “followed the customary diplomatic practices, as well as necessary protocol and procedures”.

There have been multiple protests against the embassy's development at the Royal Mint Court site. Pic: PA
Image:
There have been multiple protests against the embassy’s development at the Royal Mint Court site. Pic: PA

The embassy added that it is “an international obligation of the host country to provide support and facilitation for the construction of diplomatic premises”.

And it reminded the UK that London wants to knock down and rebuild the British embassy in Beijing, which is in a very poor condition.

In September, a Chinese embassy spokesperson told Sky News that claims the new embassy poses a potential security risk to the UK are “completely groundless and malicious slander, and we firmly oppose it”.

They added: “Anti-China forces are using security risks as an excuse to interfere with the British government’s consideration over this planning application. This is a despicable move that is unpopular and will not succeed.”

Continue Reading

Politics

The three key questions about the China spy case that need to be answered

Published

on

By

The three key questions about the China spy case that need to be answered

The government has published witness statements submitted by a senior official connected to the collapse of a trial involving two men accused of spying for China.

Here are three big questions that flow from them:

1. Why weren’t these statements enough for the Crown Prosecution Service (CPS) to carry on with the trial?

For this prosecution to go ahead, the CPS needed evidence that China was a “threat to national security”.

The deputy national security adviser Matthew Collins doesn’t explicitly use this form of words in his evidence. But he comes pretty close.

Politics latest – follow live

In the February 2025 witness statement, he calls China “the biggest state-based threat to the UK’s economic security”.

More on China

Six months later, he says China’s espionage operations “harm the interests and security of the UK”.

Yes, he does quote the language of the Tory government at the time of the alleged offences, naming China as an “epoch-defining and systemic challenge”.

But he also provides examples of malicious cyber activity and the targeting of individuals in government during the two-year period that the alleged Chinese spies are said to have been operating.

Please use Chrome browser for a more accessible video player

Witness statements published in China spy trial

In short, you can see why some MPs and ex-security chiefs are wondering why this wasn’t enough.

Former MI6 head Sir Richard Dearlove told Sky News this morning that “it seems to be there was enough” and added that the CPS could have called other witnesses – such as sitting intelligence directors – to back up the claim that China was a threat.

Expect the current director of public prosecutions (DPP) Stephen Parkinson to be called before MPs to answer all these questions.

2. Why didn’t the government give the CPS the extra evidence it needed?

The DPP, Stephen Parkinson, spoke to senior MPs yesterday and apparently told them he had 95% of the evidence he needed to bring the case.

The government has said it’s for the DPP to explain what that extra 5% was.

He’s already said the missing link was that he needed evidence to show China was a “threat to national security”, and the government did not give him that.

Please use Chrome browser for a more accessible video player

What does China spy row involve?

The newly published witness statements show they came close.

But if what was needed was that explicit form of words, why was the government reticent to jump through that hoop?

The defence from ministers is that the previous Conservative administration defined China as a “challenge”, rather than a “threat” (despite the numerous examples from the time of China being a threat).

The attack from the Tories is that Labour is seeking closer economic ties with China and so didn’t want to brand them an explicit threat.

Please use Chrome browser for a more accessible video player

Is China an enemy to the UK?

3. Why do these statements contain current Labour policy?

Sir Keir Starmer says the key reason for the collapse of this trial is the position held by the previous Tory government on China.

But the witness statements from Matthew Collins do contain explicit references to current Labour policy. The most eye-catching is the final paragraph of the third witness statement provided by the Deputy National Security Adviser, where he quotes directly from Labour’s 2024 manifesto.

He writes: “It is important for me to emphasise… the government’s position is that we will co-operate where we can; compete where we need to; and challenge where we must, including on issues of national security.”

Please use Chrome browser for a more accessible video player

In full: Starmer and Badenoch clash over China spy trial

Did these warmer words towards China influence the DPP’s decision to drop the case?

Why did Matthew Collins feel it so important to include this statement?

Was he simply covering his back by inserting the current government’s approach, or was he instructed to put this section in?

A complicated relationship

Everyone agrees that the UK-China relationship is a complicated one.

There is ample evidence to suggest that China poses a threat to the UK’s national security. But that doesn’t mean the government here shouldn’t try and work with the country economically and on issues like climate change.

It appears the multi-faceted nature of these links struggled to fit the legal specificity required to bring a successful prosecution.

But there are still plenty of questions about why the government and the CPS weren’t able or willing to do more to square these circles.

Continue Reading

Trending