A court in the Chinese city of Hangzhou has ruled that non-fungible tokens (NFTs) are virtual property that must be protected by law.
According to the ruling, NFTs have the characteristics of property rights, such as value, uniqueness, manageability, and tradability, and “belong to networked virtual property,” which must be protected by the laws of the country.” The Court acknowledged that the law does not currently clearly define the legal attributes of NFTs.
The court decision was made in the case of an NFT platform user who filed a lawsuit against the site that refused him a deal. According to the platform operator, the user provided false data. The site name and username were not disclosed in the court order.
In its ruling, the court relied on the fact that “NFT is an original way for creators to express their vision through art, and they have intellectual property rights.” Therefore, “NFT digital collections are categorized as virtual property” and the transaction in the court case is treated as “the sale of digital goods through [Интернет]”.
Recall that in October, the High Court of Singapore recognized non-fungible tokens as objects of property.
Source: Bits
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