Tether (USDT) Deemed Property in UK Court Ruling

Gold Finance reported that the UK High Court has ruled that Tether (USDT) is property, marking the first time British law has explicitly addressed the treatment and status of cryptocurrency following a full trial. This ruling comes just one day after the UK government passed legislation aimed at clarifying that cryptocurrency falls under the category of "personal property" in property law.

The legal status of Tether (USDT) was a preliminary issue in a fraud case involving a victim who had their stolen cryptocurrency, including Tether, laundered through a cryptocurrency mixer and then sold on various exchanges.

In his ruling on September 12th, Deputy High Court Judge Richard Farnhill declared that USDT enjoys property rights under English law. The judge added that USDT is a "rather unique form of property, not predicated on underlying legal rights," that can be "the subject of tracing and can constitute trust property like other property." He also noted that there is "strong authority" from a 2019 ruling by the same court, although not yet at trial, that considered cryptocurrency to be property, which aligns with the laws of England and Wales.