How Does China's Civil Code Treat Virtual Property? The Legal Status of Digital Assets Explained

Many people wonder whether the money, accounts, and crypto assets stored online are legally recognized. China's Civil Code gives a principled answer: network virtual property is legally protected, and the scope of an estate has been broadened to cover all of a person's lawful property. Understanding these two points helps you judge which digital assets are closer to being inheritable property.

What the Civil Code Says About Virtual Property

Article 127 of the Civil Code provides that where laws have rules on the protection of data and network virtual property, those rules apply. This establishes the basic principle that virtual property is legally protected and brings items like in-game gear, account balances, and online reward points within its scope.

The Broadened Scope of an Estate

Article 1122 defines an estate as a deceased person's lawful personal property — broader than the previous item-by-item enumeration. This means digital assets with monetary value can, in principle, be included in an estate, providing the legal basis for inheriting digital assets.

Legal Recognition Does Not Mean Everything Is Inheritable

• Property interests are closer to an estate — Account balances, crypto assets, and withdrawal earnings have clear monetary value and are more likely to be treated as inheritable property.
• Account usage rights are limited by platforms — Many platform agreements vest account ownership in the platform, so the account itself cannot be inherited.
• Private content is a special case — Chat histories and private letters carry privacy interests, so handling them requires balancing inheritance with privacy protection.

The Practical Limits

The law sets the principle, but on the ground each platform still has its own agreements and procedures, and proving that an account exists and what it is worth can be difficult. This is why planning ahead matters — putting your asset leads, handling wishes, and credentials in order ahead of time gives an inheritance claim a firmer foundation.

What You Can Do While Alive

We recommend preparing a digital estate inventory while you're alive, noting which digital assets hold value, where they're stored, and how you want them handled; for crypto assets, see the Cryptocurrency and Digital Asset Inheritance Guide. Store sensitive credentials in an encrypted vault with a trusted contact, so the rights the law grants can actually be exercised.

This article is based on publicly available legal provisions and is for general knowledge only; it does not constitute legal advice. Legal application depends on the specifics of each case — for important inheritance arrangements, consult a qualified lawyer or notary institution.