Blockchain evidence will now be legally viable in courts in China. As part of recent changes, using evidence from a Blockchain and using the ledger to help verify facts and claims, will be accepted. This comes as internet courts were also established recently to help settle claims of a digital nature.
Internet courts are the latest development in the legal landscape as China attempts to reform the current landscape to accommodate for the ever expanding digital sphere. As alluded to by the name, a internet court is primarily dedicated to resolving disputes of digital nature. Recently the country launched its first branch in the city of Hangzhou.
“Internet courts shall recognize digital data that are submitted as evidence if relevant parties collected and stored these data via blockchain with digital signatures, reliable timestamps and hash value verification or via a digital deposition platform, and can prove the authenticity of such technology used,”
[Translated from Chinese]
Blockchain technology has long been regarded as the gold standard in the crypto community when attempting to resolve financial conflicts and even recover/trace stolen funds. This new ruling comes as the first of its kind to introduce the technology in a legal setting. Blockchain technology allows data to be public and in a ledger form preventing manipulation and obfuscation of evidence.
To conclude, Blockchain evidence will now be legally admissible in court to substantiate claims and verify evidence. This new ruling comes as reassurance for many considering the huge crypto market developing in Asia. Further allowing crypto thieves to be caught and serving as a deterrent , the new regulations aim to give the new internet courts of China a channel of evidence. While this will initially impact the Hangzhou court, the government of China is also looking to set up two further internet courts located in Beijing and Guangzhou.