Cryptocurrency: The Next Chapter In The Valuation Conundrum

Earlier this week, the Singapore High Court handed down a decision concerning cryptocurrency valuation in the context of assessing damages for breach of contract and made some important observations in the process. The Court explored two key valuation challenges arising from the uniquely volatile nature of cryptocurrency: (i) how to ascertain market value; and (ii) determining the correct point in time to conduct the valuation. The judgment provides insight on looming issues likely to confront the courts in many common law jurisdictions in the near future, including the Cayman Islands.

A link to the Fantom Foundation decision is here.

Conyers is one of the founding firms behind the Crypto Fraud and Asset Recovery ("CFAAR") chapter in the Cayman Islands. The Conyers Litigation and Restructuring group has played leading roles on the most high-profile and complex offshore cases involving cryptocurrency exchanges and digital tech service providers (including Aubit