China's top court said it will step up research into judicial approaches for emerging financial cases, particularly those involving private equity and virtual currencies, as part of broader efforts to strengthen legal protections in the financial sector.

The Supreme People's Court said on Tuesday that it plans to issue judicial interpretations on civil compensation for insider trading and market manipulation in the securities sector, aiming to improve the legal framework governing the financial system.

"The financial sector is the backbone of our national economy and a key component of our country's core competitiveness," said Wang Chuang, chief judge of the SPC's Second Civil Division. "It is crucial to resolve disputes in this area effectively and support the development of a sound financial system."

Wang cited data showing that in 2025, Chinese courts handled more than 2.7 million financial cases, up 1.7 percent from the previous year. He said the quality of case handling has improved and legal services in areas such as technology finance, digital finance, pension finance and green finance have been optimized.

According to Wang, China has three financial courts, eight financial tribunals and more than 300 financial panels or teams, "all dedicated to safeguarding the legitimate rights and interests of financial market participants".

"In cities such as Beijing, Shanghai and Shenzhen, we have intensified judicial protection for financial technology over the past year," he said. "Meanwhile, in Nanjing in Jiangsu province, we have taken firm action against illegal activities in the pension finance sector."

He added that courts will also focus on supply chain finance and internet finance, placing greater emphasis on handling securities, insurance and bankruptcy cases.

In 2025, courts nationwide handled 27,000 securities cases and 392,000 insurance disputes, increases of 63.6 percent and 21.3 percent, respectively, from the previous year. Nearly 45,000 bankruptcy cases were processed, up 7.31 percent year-on-year.

Zhou Lunjun, deputy chief judge of the division, said bankruptcy adjudication is a key part of building a high-level socialist market economy.

"Bankruptcy cases involve not only legal issues such as property ownership and distribution of claims, but also employee placement, social stability, taxation and credit restoration," Zhou said. "It is therefore vital to establish effective coordination among courts, government departments and social organizations."

He said the SPC will continue to push for the establishment of more bankruptcy courts, improve adjudication procedures and prepare for revisions to the Enterprise Bankruptcy Law. In 2025, the SPC approved the creation of six new bankruptcy courts, bringing the nationwide total to 24 and covering most major cities.