Analysis of the Validity and Legal Consequences of Digital Currency Sales Contracts in China

Abstract

This paper selects judicial precedents of China related to disputes over digital currency sales contracts to do research, and makes a model-based induction and summary of the types of cases. Then it analyzes the above issues one by one in terms of legal norms. The conclusion is that disputes over digital currency sales contracts fall within the scope of court cases. It discusses the validity of contracts by category, and believes that contracts should be recognized as valid under normal circumstances. However, it is also considered that the contract is revocable or invalid under certain circumstances. The internationally popular digital currency is essentially different from the various "currencies" mentioned in Chinese cases, and the currency involved in the case is likely to be involved in pyramid selling. After the contract is revoked or invalid, the digital currency seller shall return the buyer's money, and the buyer shall return the seller's digital currency to the extent practicable. If the digital currency trading platform cannot log in or disappear during the period, the digital currency is presumed to be a scam and the buyer does not need to return any property.