First-instance decision of the Court: Bitcoin has economic value

First-instance decision of the Court: Bitcoin has economic value

A court in South Korea issued a ruling for the first time, Bitcoin has economic value. It canceled a previous court ruling that did not recognize the digital currency. The case involves the confiscation of 191 Bitcoin.

Bitcoin’s situation has been re-examined.

The Suwon District Court in South Korea has for the first time admitted that Bitcoin is of economic value and can be confiscated, local media reported on Tuesday.

The ruling concerns the case when Ahn was arrested in May last year and sentenced for operating an illegal pornographic site, with about 1.2 million members. Ahn received approximately $ 1.78 million from membership fees. While arresting him, the Southern Provincial Police Agency in Gyeonggi confiscated about 216 Bitcoin from an online wallet that had been credited with the fees in the site.

Last September, another court ruled that he did not recognize Bitcoin and ruled that he could not be confiscated. An official at the court said he did not appreciate that bitcoin has economic value because it is “in the form of electronic files without physical entities, unlike fiat.

After the first decision, the prosecutor appealed in December to the court to have the Bitcoin confiscation authority. The second meeting was held recently.

At the second hearing, the court found that “The law on the dissemination of the proceeds of crime does not limit the criminal income on goods, cash, deposits, stocks and other goods of economic value,” Chosun said and quoted the court as saying:

Bitcoin can be exchanged for money by exchange. It can be used as a means of payment through traders, so it should be considered as having economic value.

The Court later ruled that “of the 216 Bitcoin confiscated by the Prosecutor’s Office, 191 are Ahn’s,” a fact established by correlating with the e-mail addresses of members of the pornography site, so that they are considered to come from exploiting the site “.

Since the arrest of Ahn in April, the Bitcoin price has increased significantly. The value of the 191 seized Bitcoin is about $ 2 million at this time.

A lawyer explains:

Recognition of the digital currency as the object of confiscation means that it will be transferred to the national treasury and used as a national budget

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