Thai Supreme Court Recognizes Bitcoin as Legal Property

Supreme Court Rules Bitcoin Qualifies as Property in Landmark Thai Decision

Bangkok, Thailand – Thailand’s Supreme Court has officially ruled that Bitcoin qualifies as property under Thai law, a decision stemming from a 2022 robbery case where a tourist was forced to transfer a significant amount of the cryptocurrency. The ruling also upheld a 10-year prison sentence for the perpetrator and ordered the return of the stolen Bitcoin or its equivalent compensation.

Rejection of “No Intrinsic Value” Argument

The landmark decision, delivered by the nation’s highest court, also dismissed arguments that cryptocurrencies lack intrinsic value. The case originated in September 2022, when a group of five foreign nationals allegedly assaulted and threatened a tourist on the island of Koh Samui. The attackers reportedly compelled the victim to convert $50,000 into 2.480801 Bitcoin and transfer it to a digital wallet under their control.

During the legal proceedings, the defendant contended that Bitcoin could not be considered stolen property due to its lack of physical form and its status as non-legal tender in Thailand. Consequently, the defense argued that the forced transfer of Bitcoin did not constitute theft or robbery under Thai criminal law.

Measurable Value and Possession

The Supreme Court, however, rejected this assertion. The judges found that Bitcoin possesses a measurable market value, can be owned by individuals, and is exchangeable for fiat currency. While acknowledging that cryptocurrencies are not officially recognized as legal tender and are subject to price volatility, the court concluded that these factors do not preclude Bitcoin from being classified as property in the context of the robbery.

In its full-bench decision, the court referenced Sections 137 and 138 of Thailand’s Civil and Commercial Code, which pertain to property and intangible items that hold value and can be possessed. Furthermore, the judges considered Thailand’s 2018 Digital Asset Business Emergency Decree, which recognizes cryptocurrency as electronic data used for exchange. The court ultimately determined that Bitcoin’s digital nature does not disqualify it as property in a robbery scenario.

Sentence and Compensation

The ruling affirmed the defendant’s 10-year prison sentence. The court also mandated the return of the 2.480801 Bitcoin or compensation equivalent to its value at the time of the incident. The defendant was initially sentenced to 15 years, which was later reduced to 10 years. The court ordered the stolen Bitcoin to be returned or approximately 1.878 million baht in compensation to be paid to the victim.

It is important to note that this decision recognizes Bitcoin as property for the purposes of this criminal case. It does not, however, elevate cryptocurrency to the status of official money or obligate businesses to accept it as a form of payment.