Legal Risks of Web3 Entrepreneurship from the Perspective of Business Disputes

Recently, a partnership dispute involving a Web3 project has attracted widespread attention. This dispute escalated from a commercial disagreement to a criminal case, provoking differing opinions from various parties. As a criminal lawyer focused on the Web3 field, I cannot directly access the case materials, but based on my understanding of Web3 entrepreneurs and past experiences, I can provide some insights on compliance issues in Web3 entrepreneurship.

Case Overview

According to reports, a platform focused on ecological mini-games of a certain public chain has fallen into trouble due to disputes among partners. On February 12, 2025, one of the main participants was arrested by the police in Hangzhou on suspicion of "illegally obtaining data from computer information systems." The next day, the individual was transferred to Shanghai. It is worth noting that there is a dispute regarding the identity positioning of both parties.

According to public information, the core of the dispute lies in the differences in understanding of equity and roles between the two parties. One party insists that they are at the partner level, while the other party denies this claim, believing that the counterpart is merely taking advantage of community resources to demand excessive compensation. After the negotiation failed, the Hangzhou team revoked the data account permissions of the other party in November 2024, which may have been the direct cause of the case.

Legal Analysis

The "crime of illegally obtaining data from a computer information system" is the key to this case. This crime is stipulated in the second paragraph of Article 285 of our criminal law, primarily targeting acts of illegally intruding into computer systems, obtaining data, or implementing illegal control. Depending on the severity of the circumstances, one may face imprisonment for less than three years or for a fixed term of three to seven years, and may also be fined.

The criteria for judgment include the number of specific types of identity authentication information obtained, illegal gains, or economic losses caused, etc. It is not yet clear which specific regulation is violated in this case, but based on experience, it may be related to economic losses.

Compliance Suggestions for Web3 Startups

1. Emphasize the initial legal documents: During the early stages of entrepreneurship, key issues such as equity arrangements and role division should be clarified and documented in writing.

2. Professional Legal Advice: Do not rely solely on online templates; it is best to hire a professional lawyer to draft or review relevant documents.

3. Regular Legal Check-ups: As the project develops, regularly check and update legal documents to ensure compliance with the latest regulations and the current state of the project.

4. Establish internal compliance mechanisms: Develop clear rules for data access and use to avoid legal risks arising from internal disputes.

5. Maintain good communication: Partners should maintain open and transparent channels of communication to resolve differences in a timely manner.

6. Hire a permanent legal advisor: especially professionals familiar with Web3 and criminal law, who can provide necessary legal guidance at critical moments.

7. Emphasize the protection of intellectual property rights: Clearly define the ownership of intellectual property among all parties in the project to avoid subsequent disputes.

8. Establish a dispute resolution mechanism: Pre-agree on the method of dispute resolution in the cooperation agreement, such as mediation, arbitration, etc.

9. Pay attention to regulatory dynamics: The regulatory environment of the Web3 industry changes rapidly, requiring timely adjustments to business strategies to comply with the latest requirements.

10. Cultivate legal awareness: Provide basic legal training to the core team to enhance overall compliance awareness.

The Web3 industry is full of opportunities, but it also faces unique legal challenges. Entrepreneurs should remain vigilant; while pursuing innovation, they must also focus on compliant operations. By making prior legal arrangements and seeking professional guidance, many potential legal risks can be effectively avoided, laying a solid foundation for the long-term development of the business.