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Virtual goods transactions continue to grow in volume and value around the world, but they are still on new and uncertain legal ground. Vietnam: The Ministry of Information and Communications have expressed a view that virtual goods are not proprietary, and that any disputes between users are personal, not civil disputes. However, the focus of the case was on the violence of the perpetrators rather than addressing the issue of property, so is not likely to be enough to conclude that virtual goods will be recognised as property under Dutch civil law.

However, he ended up pleading guilty under the Misuse of Computers Act and Proceeds of Crime Act, and was not actually prosecuted for theft or other property crimes. Given the value of some virtual assets it could just be a matter of time before a creditor pushes for their liquidation as part of a security arrangement.

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Please contact [ protected]. What about in Australia?

China: The widespread use of virtual goods to conduct transactions concerned Chinese authorities enough that they passed regulations in intended to protect their economy from negative consequences of these activities. How have virtual goods been treated by courts globally?

A subset of the virtual goods category is virtual currency, which is regarded as a substitute or competitor for ordinary currency. Because Bitcoins are a digital-only currency questions of online fraud, theft and misuse, in the absence of regulation, are of central importance.

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The legal treatment of virtual goods differently is creating a burgeoning new discipline across multiple jurisdictions. The court stated that virtual goods had genuine real-world value and should be treated accordingly, even though they were also data Google Translated decision. Register now for your free, tailored, daily legal newsfeed service. Can virtual goods be stolen or loaned, and if so, would or could a court compel their return?

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However, the end-user agreements EULAs issued by many virtual goods providers state that virtual goods are not property, or that the end-user is only granted a licence over the virtual goods and does not own them. Please contact [ protected] Register.

This presents a string of legal issues, for example: If virtual goods are legal property, do contracts like EULAs have an effect if they say otherwise? Here is an overview of some recent developments:.

Can virtual assets be used as security for a loan? At the moment, Australia has no official legal recognition of virtual goods or currency.

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Back Forward. This could make them attractive to those who may be involved in funding illegal activity, money laundering or Ponzi schemes a claim the US Security Exchange Commission started investigating in September in respect of one particular trader.

It is possible that virtual goods could be treated as intangibles under the same legislation, based on the of players buying and selling their magic armour or in-game money for real value, but there has been no test case for this in Canada yet. Time will tell whether these virtual economies will eventually be accepted by governments as a legitimate practice worth legally protecting like any other property, or be left as non-proprietary objects with no legal status.

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Because Bitcoin s are identified by a serialnot a name, and it is therefore hard to determine the identity of the holder, Bitcoins can be easily transferred without a trail. Holland: Also inthe Dutch Supreme Court found two teenagers guilty of theft for assaulting and threatening another teen with a real knife to force him to transfer a virtual amulet in the MMO game Runescape. The real-world value attributed to virtual goods, and the frequency with which they are traded suggests that many if not most users of these systems believe that the virtual goods are their property, and that they can buy or sell them at will.

Blizzard, for example, refuses to recognise any out-of-game purported trades of virtual goods although this may change given the inclusion of real-money-trading houses in its recent title Diablo III. Bitcoins and other virtual currencies raise further legal issues.

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