Why is China’s Supreme People’s Court studying crypto-related cases?

Supreme People's Court said it wants to improve consistency in how Chinese courts handle disputes involving virtual currencies, cross-border finance and digital economy activity. The initiative reflects growing legal complexity around crypto and AI technologies.

Does this mean China is legalising cryptocurrency trading?

No, mainland China still maintains a broad ban on cryptocurrency trading, mining and initial coin offering activities. The court’s research focuses on legal dispute handling rather than reversing the country’s crypto restrictions.

What kinds of crypto disputes will the court study?

The court said it plans to examine adjudication rules involving virtual currencies, insider trading, market manipulation and cross-border financial disputes. The effort could lead to clearer judicial interpretations for future cases.

Why is China also focusing on AI-related legal issues?

Chinese courts are seeing more disputes tied to artificial intelligence, data ownership and AI-generated content. Regulators want clearer legal standards covering intellectual property rights, data transactions and liability involving AI systems.

What did Liu Guixiang say about the initiative?

Liu Guixiang said the court will conduct in-depth research into adjudication rules for virtual currencies and cross-border finance while developing interpretations tied to insider trading and market manipulation.

How could this affect crypto-related lawsuits in China?

The initiative may give courts more standardised guidelines for handling crypto-linked civil and financial disputes. That could improve consistency in rulings involving digital assets even while crypto trading remains banned.

Why is cross-border finance included in the review?

Digital assets and AI increasingly involve international transactions, offshore entities and global data flows. Chinese regulators appear concerned about how courts handle financial disputes that extend beyond domestic jurisdiction.

What is China’s current position on cryptocurrencies?

China banned crypto trading and mining activities in 2021 through coordinated measures involving multiple regulators. Authorities continue restricting private crypto markets while promoting state-controlled digital financial infrastructure.

Image for illustrative purposes only. Not a real photo.

China court studies crypto and AI case rules

Written by Mahathir BayenaPublished May. 28 2026Last Updated May. 28 2026

Supreme People's Court said it will study new judicial rules covering virtual currency disputes, cross-border finance and artificial intelligence-related legal cases as China expands oversight of the digital economy.

Judicial Committee member Liu Guixiang said the court plans to formulate judicial interpretations involving insider trading, market manipulation and emerging disputes tied to digital assets and AI-generated content.

The court also said it will examine legal protections surrounding data ownership, data transactions and intellectual property issues linked to artificial intelligence systems.

The initiative aims to improve consistency in how Chinese courts handle lawsuits involving cryptocurrencies, AI technologies and digital financial activity as related disputes continue increasing across the country.

The comments arrived months after Chinese authorities pursued legal action connected to alleged crypto-linked fraud operations involving Chen Zhi, whose suspected scam networks were tied to billions of dollars in seized Bitcoin.

Despite the new legal research initiative, mainland China continues enforcing strict restrictions on cryptocurrency activity after banning crypto trading, mining and initial coin offering-related services in 2021.

People's Bank of China has also tightened oversight of stablecoins and tokenised assets while continuing to promote the country’s state-controlled digital yuan central bank digital currency.

At the time of reporting, Bitcoin price was $72,855.16.