In a defamation case pending in Australia before the District Court of New South Wales, Judith Gibson allowed the use of a cryptocurrencies as a court order.
Cryptoes as collateral: “an acknowledged form of investment.”
“It’s a recognized form of investment.” – Gibson said about the cryptocurrencies. She added, by the way, that she is also aware of the fact that these are subject to great odds fluctuations. The Australian Associated Press released the information.
What’s the matter with you? The slander trial. The context that interests us most is, however, the security aspect. The court stated that the accusing party must place about $13,000 in a bank account protected by the authorities. If the prosecutor withdraws, the funds will be used as a fee to cover part of the defendant’s legal costs.
The revolution in this context, however, is that the prosecutor does not have to deposit fiat currency into the bank account. Indeed, the court has allowed the plaintiff to use a crypto account on exchanges.
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Wouldn’t the fluctuations of BTC’s course interfere with the whole process, so initiated? And there’s a solution. Taking into account the concerns about the volatility of the digital currency price that emerged from the defendant’s legal team, the plaintiff agreed to provide him with monthly reports on the value of the account expressed in cryptic currencies.
The court also requested the plaintiff to notify the defendant’s attorney if the value of the crypto-account falls dramatically.
“I understand how important it is for the defendant to receive immediate notification of any drop in account value,” Gibson said. “These are uncertain times in financial terms,” she added.
Cointelegraph also contacted the court for additional information, but received no response when his article was published. However, journalist Benjamin Pirus promised to update his message as soon as the Australian court answered his questions.
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Although the use of crypto as collateral in a court case is not the most striking example of using BTC, it shows that digital currencies are growing in the eyes of authorities and lawyers around the world.