Fuzhou Gulou Court dismissed the lawsuit involving a 480,000 yuan USDT financial dispute and transferred it to the public security authorities

The People's Court of Gulou District, Fuzhou City recently concluded a dispute arising from investment in virtual currency. Chen transferred 480,000 yuan to Liu for foreign exchange wealth management, and Liu converted the funds into USDT and invested on an overseas platform. After the platform closed, Chen filed a lawsuit in court seeking a refund.

The court reviewed the case and found that the transaction model formed a closed loop of receiving RMB, exchanging for USDT, cross-border transfer, and buying and selling foreign exchange, which constitutes a disguised foreign exchange transaction and is suspected of economic crime. The court ruled to dismiss Chen's lawsuit and transferred the relevant materials to the public security authorities for handling, with the Fuzhou Intermediate Court upholding the original ruling. The court reminded that investing in virtual currency violates relevant civil laws of public order and good morals, and any losses arising from this shall be borne by the investor.