An investor in Shanghai, China invested 1.05 million yuan in virtual currency, but was unable to withdraw funds from the platform and filed a lawsuit for compensation. The court rejected their claim According to BlockBeats, on February 13th, the People's Court of Jing'an District, Shanghai, China, recently heard a dispute over unjust enrichment caused by investing in virtual currencies. Ms. Wu was induced by a live streaming host to invest 1.05 million yuan in virtual currency trading. After being unable to withdraw funds from the platform, she sued the court for compensation. However, her demands were rejected in both the first and second trials, and she ultimately had to bear all losses on her own. This final verdict has also sounded the alarm for all investors who have a sense of luck and blindly engage in virtual currency speculation. In November 2019, Ms. Wu received a sales call and downloaded a virtual currency trading software under the guidance of an investment and financial anchor in the live broadcast room. Through this trading platform, Ms. Wu has invested 1.05 million yuan and reached transactions with 8 sellers, including a transaction amount of 80000 yuan with Mr. He. Later, Ms. Wu discovered that the trading software could not be logged in, and she was unable to withdraw virtual currency worth 1.05 million yuan from her account on the platform. In 2024, while reporting to the local public security organs, Ms. Wu filed a civil lawsuit with the court on the grounds of unjust enrichment, demanding that Mr. He return the transaction amount of 80000 yuan. But Mr. He argued that he is a member of a certain digital exchange, placing orders to sell the digital currency USDT, and has not registered the platform account claimed by Ms. Wu. After the money is received, both parties have completed the transaction and there is no situation of undue enrichment. After trial, the People's Court of Jing'an District, Shanghai held that according to the relevant provisions of the Civil Code of the People's Republic of China, civil subjects engaged in civil activities shall not violate the law or public order and good customs. In this case, the USDT involved is a virtual currency that does not have the same legal status as legal tender. The related business activities of virtual currency are illegal financial activities. Ms. Wu's investment transactions belong to virtual currency related business activities. The act of trading virtual currencies disrupts the country's financial regulatory order, violates public order and good customs, and is an invalid civil legal act. The losses caused by this should be borne by herself. In summary, the Jing'an District People's Court rejects all of the plaintiff Ms. Wu's claims. Ms. Wu is dissatisfied with the verdict and has appealed. After trial, the second instance court rejected the appeal and upheld the original verdict.