The People's Court Daily published an article signed by Zhao Liang from the Intermediate People's Court of Shenzhen, Guangdong Province (Criminal Cases Involving Virtual Currency Disposal: Challenges, Innovations, and Judicial Responsibility), which points out that virtual currency has corresponding property attributes, and a consensus has basically formed in judicial practice. For those that need to compensate victims' losses or be confiscated, in order to balance the demand for the disposal of involved virtual currency and the regulatory policies in the mainland, it is possible to explore filing and supervision under the People's Bank, foreign exchange management, and other departments, and to entrust qualified third-party institutions in legally recognized judicial jurisdictions for virtual currency transactions abroad, such as Hong Kong, to exchange virtual currency for fiat currency at market prices through compliant licensed trading platforms. After realizing it abroad, it should be handled in accordance with the provisions of the State Administration of Foreign Exchange (regarding the opening of foreign exchange accounts by people's courts in foreign judicial activities and related issues concerning foreign exchange income and expenditure). For virtual currencies used in crimes that pose a threat to national security and public interest, such as privacy coins, they can be sent to a “black hole address” for destruction and permanently withdrawn from circulation.
