In what seems like a substantial breakthrough for the field of distributed ledger technologies, China has made blockchain records admissible in courts. The move will supposedly improve the resolution of internet-related legal disputes.
A Significant Breakthrough
The Supreme People’s Court of China released provisions Friday, September 7th, providing further clarifications for the litigation procedures of newly formed courts specialized in handling internet-related cases.
A specific section of the documents stated that the internet courts, as they are commonly referred to, shall recognize digital information if it’s verified by certain methods, including digital timestamps, signatures, and blockchain. Reportedly, the new provisions are entered into effect immediately.
According to patent lawyer Zhang Yanlai, using blockchain as a method for evidence authentication is appropriate because it is “secured, efficient, convenient, and low in cost.” It’s worth noting that, traditionally, courts depend on third-party notary authentications to validate evidence and to make them admissible in courts, hence why the new provisions are of such significance.
The first court to handle internet-related disputes in China was set up in Hangzhou back in August 2017, while the second one opened yesterday, September 9th, in Beijing. The country is also planning to open another one in Guangzhou by the end of the month.
China has a somewhat specific position on the cryptocurrency market. While the country is continuously clamping down on the usage of digital currencies, it seems to be a lot friendlier towards the technology which underpins them.
Yet, despite the country’s nationwide ban on offshore exchange trading and Initial Coin Offerings (ICOs), China recently announced the launch of a $1.5 billion investment fund to incentivize the development of blockchain-based technologies.
Going further, back in April, the city of Hangzhou launched another massive fund of $1.6 billion intended to empower companies which are occupied within the field of blockchain.
What do you think of China’s recent move to allow evidence authentication through blockchain? Don’t hesitate to let us know in the comments below!
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