China’s New Civil Code Will Allow It Citizens to Pass on Legal Inheritance of Cryptocurrency to Their Heirs

0
344

There has been a growing demand for the legalization of cryptocurrencies in many countries across the world. However, while some of the countries are going big on them, others are still afraid of embracing them. For a very long time, China has been struggling with a lot of uncertainty about whether or not it should legalize blockchains even though it is still anxious about cryptocurrencies.

But a New Civil Code Is Protecting the Inheritance of Cryptocurrency

The Chinese state has legalized the inheritance of Cryptocurrency. According to Xinhua news, during the Thirteenth National People’s Congress and Chinese People’s Political Consultative Conference, the parliament authorized a new civil code, which protects the rights of inheritance. This means the Chinese citizens are permitted to pass over their Cryptocurrency to their beneficiaries.

The new code is effective in January 2021, according to Lixin Yang, a professor at Renmin University of China. It states, “When a natural person dies, the legacy is the personal legal property left by she/he…this means “internet property and virtual currency will be inherited.”

China’s Determination to Create a Truly Digital Society 

China’s move to protect the right to inherit digital assets is largely symbolic. This is according to AYO. NEWS, which explained that previously, someone could just access the wallet using a key. As a show of true commitment to its support of the digital economy, China has inaugurated a national blockchain-based service network, which will boost new blockchain projects.

Apart from coronavirus pandemic, the launch of digital currency, including the yuan, is one of the most historical events of 2020 in China. This will facilitate online transactions, which, in return, will avail cash flow in society. Businesses and financial institutions can easily access their credit data and cash flow information from an online database. Additionally, the regulatory authorities will be able to trace all transactions.

The introduction of digital currency was timely. The coronavirus pandemic may also have played a significant role, given the strong recommendation of using contactless payments. This has been one of the primary perceptions and recommendations of hygiene standards for controlling the spread of the virus.

LEAVE A REPLY

Please enter your comment!
Please enter your name here