Quick take:

  • The court ruled that USDT attracts property rights because it can be the subject of tracing and constitute trust property in the same way as other property.

  • The UK government recently proposed a new classification for property that specifically covers cryptocurrencies.

  • The ruling follows a case brought by Fabrizio D’Aloia, who said he was the victim of a cryptocurrency scam.

A UK High Court has ruled that Tether’s USDT stablecoin counts as property following the government’s proposal on Wednesday to introduce a new classification for property that specifically covers cryptocurrencies.

“USDT attracts property rights under English law, ” Richard Farnhill, a deputy high court judge, said in the court filing on Thursday. “It can be the subject of tracing and can constitute trust property in the same way as other property.”

The ruling was on a case brought by Fabrizio D’Aloia, who said he was the victim of a cryptocurrency scam concerning the crypto exchange platform Bitkub, which was named among the seven defendants.

The ruling showed that two unidentified people from Binance were also among the defendants, adding that the case against Binance was settled.

This ruling comes just as more governments across the world continue to work on ways to regulate cryptocurrencies properly. 

On Wednesday, the UK Parliament introduced The Property (Digital Assets etc) Bill, meaning that for the first time in British history, digital holdings including cryptocurrency, non-fungible tokens (NFTs) such as digital art, and carbon credits can be considered as personal property under the UK law.

“The Bill will also ensure Britain maintains its pole position in the emerging global crypto race by being one of the first countries to recognise these assets in law,” a press release statement read.

Commenting on the announcement, the UK Justice Minister Heidi Alexander said: “It is essential that the law keeps pace with evolving technologies and this legislation will mean that the sector can maintain its position as a global leader in cryptoassets and bring clarity to complex property cases.”

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The post UK High Court Rules Tether’s USDT Stablecoin Could Be Treated as Property appeared first on NFTgators .