A man on trial in Germany has escaped criminal charges after allegedly stealing $2.9 million (€2.5 million) in cryptocurrency 💰 through an unauthorized transfer — all thanks to a series of unusual legal loopholes 🕳️⚖️.

🏛️ The Courtroom Drama

The case, heard by the Braunschweig Higher Regional Court (OLG), involved the alleged theft of 25 million unspecified tokens. According to court documents 📄, the defendant had helped the victim set up a crypto wallet and, during the process, reportedly gained access to the victim’s 24-word seed phrase 🔐.

He then allegedly transferred the tokens from the victim’s wallets into two other wallets beyond the victim’s control 🕵️‍♂️💼.

🧾 Legal Loophole: Crypto Isn’t a “Thing”?

Under Section 242 of the German Criminal Code (StGB), theft is defined as the “taking of another’s movable property.” But since cryptocurrencies like Bitcoin and Ethereum have no physical form 📉, German law doesn’t recognize them as “things.” That meant the traditional theft charge didn’t apply, according to German newspaper Heise.

💻 No Fraud, No Falsification

Other potential charges also fell flat:

■“Computer fraud” didn’t apply because the blockchain transaction couldn’t be clearly tied to unauthorized data manipulation. 💻🧩

■“Falsifying evidentiary data” was rejected due to “a lack of identifiability of the issuer.”

■Even “data alteration” didn’t stick — the court ruled that since the modification was executed on the blockchain, it was technically done by the network itself 🌐🔁.

👨‍⚖️ So… No Criminal Charges?

While the accused may have sidestepped criminal prosecution, he could still face civil action 🏛️— a likely outcome considering the $2.9 million involved.

🇩🇪📉 What Does This Mean for German Crypto Law?

A lawyer from WINHELLER, a German law firm specializing in crypto assets, told Decrypt that:

> “Legislative amendments are highly likely as the ruling creates a massive protection gap where millions in crypto can be stolen without criminal consequences.”

The legal expert predicts this will “force urgent reforms” 🔧 to expand theft laws to include digital assets and create “specific crypto-related criminal provisions” 🧾⚠️. #CryptoCrime #CryptoScamSurge