LEX DIGITALIS AS A COLLISION PRINCIPLE FOR REGULATING DIGITAL ASSETS

Abstract

This article analyzes the conflict-of-law issues arising in the context of the cross-border circulation of digital assets. The decentralized nature of blockchain technology, the absence of traditional territorial ties for digital assets, and their circulation in a virtual environment limit the effectiveness of the classical principle of the law of the situs – lex rei sitae. The author comparatively analyzes the applicability of existing connecting factors in private international law – the law of the location of property/things (lex situs), the law of domicile (lex domicilii), the law of the contract (lex contractus), and party autonomy – to digital assets. The concept of “lex digitalis” is theoretically substantiated as a novel conflict-of-law principle in regulating digital assets. This concept is interpreted as a functional connecting factor that takes into account the transnational regulatory environment shaped by blockchain protocol rules, smart contract architecture, network governance, and digital platforms. Furthermore, modern models for determining the applicable law for digital assets are analyzed based on the UNIDROIT Principles on Digital Assets and Private Law, as well as the experiences of the European Union, the United Kingdom, and Singapore. As a result of the research, it is substantiated that classical territorial conflict-of-law approaches are insufficient in the context of a decentralized digital economy, and a multi-factor functional model based on digital law (lex digitalis) is proposed for determining the applicable law to digital assets. In conclusion, the author develops scientific and practical recommendations for improving the private international law legislation of the Republic of Uzbekistan.