Daniel Scott analyses a civil fraud case that may serve as a precursor for similar cases in the private client sphere on the misappropriation of cryptocurrencies The concession made in this case is to favour the trust analysis such that it is now relatively uncontroversial to view cryptocurrencies as property capable of being held on …
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Wills & Trusts Law Reports | Spring 2022 #186The parties entered into contracts whereby they exchanged specified quantities of cryptocurrencies, namely Tezos and Bitcoin, on terms of reciprocal restoration of the same amounts of each currency upon or after an agreed period of two years. The claimant applied to continue a worldwide freezing order and proprietary injunction. The defendant applied to strike out/enter summary judgment on the proprietary claims.
Held – applications granted in part
- 1) Principles:
- a) Fungible and non-identifiable digital assets constitute property ...
Wills & Trusts Law Reports | Autumn 2021 #184The defendant company was formed as a cryptocurrency trading exchange platform based in New Zealand in 2014. It enabled users to register as account holders, make deposits and carry out trades of various types of digital assets for which the company charged fees. The initial deposit would be made into a ‘hot wallet’ connected to the internet for which there was a public key. When not required to meet withdrawal requests, the deposit would be transferred to a ‘cold wallet’ which was not connected to the internet and for which there was a private key, similar to a password, known only to t...
