In ByBit Fintech Ltd v Ho Kai Xin and others [2023] SGHC 199, the Singapore High Court determined whether the crypto assets in question are indeed property capable of being held on trust and, if so, what type of property they are. The crypto assets in this case were United States Dollar Tether (“USDT“). The Plaintiff alleged that the Defendant had improperly transferred the USDT in question and sought a declaration of a constructive trust over the USDT so as to trace the assets. The Court granted the trust, holding that the USDT was property capable of being held on trust, and that it was a chose in action recognisable by common law as being enforceable in court.
The Court’s decision is significant as it is the first time that this issue has been decided in the Singapore courts. The decision also shines a light on the remedies available to claimants seeking the return or repayment of crypto assets. This Update provides a summary of the Court’s decision.
For more information, click here to read the full Legal Update.
