According to the official account of the Jiangsu High Court, the Jiangsu High Court released typical cases of foreign-related commercial trials, pointing out that overseas virtual currency investment is not protected by China's laws. In the relevant case, Singaporean citizen Pan and Chinese citizen Tian signed a cooperation agreement with a third party to jointly operate the "MFA blockchain" project. Pan transferred 15.74 million yuan to Tian to purchase MFA virtual currency, but later the virtual account involved in the case was locked and unable to trade, resulting in a loss of all principal. Pan filed a lawsuit with the court.
The second instance of Jiangsu High Court held that Pan is a Singaporean citizen, and this case has foreign-related factors. According to the applicable laws of China, if it involves China's financial security and social public interests, the mandatory provisions of China's laws and regulations should be directly applied. China's laws and regulations prohibit virtual currency investment. In this case, the parties signed a contract to speculate on overseas virtual currencies, which violated mandatory regulations in China's financial regulatory field. The investment losses claimed by the parties are not protected by law, and the losses caused by this shall be borne by the parties themselves.
