The Wenzhou Court of China is liquidating the seized cryptocurrency.

The Wenzhou Court has legally carried out the liquidation of seized digital assets, including over 6,000 USDT, more than 2,700 TRX, and 0.8 BNB, marking a new precedent in the Chinese legal system.

This landmark case shows that China’s legal framework is gradually improving in handling crimes related to digital assets, which may impact future regulations and the operations of cryptocurrency exchanges.

The liquidation of stolen digital assets since December 2022 is being carried out for the first time, with the accused Mr. Liu using a counterfeit digital wallet, and Wang Zi Tai coordinating the handling through the third research institute of the Ministry of Public Security. The court applies the guidelines according to Article 23, ensuring transparency in the liquidation process.

The conversion of assets through licensed exchanges to retrieve approximately 50,000 CNY sets a new procedural standard, becoming a precedent for tackling cybercrime. This process has received support from financial authorities and the government. Although the volume of liquidated assets is small, this move is still seen as an important legal milestone for future cases, yet no notable reactions have been recorded from the cryptocurrency community.