Today you probably own more accounts and assets than you think you do. With digital accounts and possibly even cryptocurrency, you might have greatly increased the complexity of your estate plan. This makes it important to work with a knowledgeable estate planning attorney.
As non-currency blockchain tokens and cryptocurrencies become increasingly popular with people, it is ever more important to address them in the estate planning process. There are unique attributes and possible challenges associated with owning and transferring these assets. But it is especially important to find a way to document that you own them so that your loved ones understand where and how to access them.
One of the biggest but yet first challenges is disclosing crypto asset ownership to your heirs. Crypto assets can be kept in hot storage, such as an online digital wallet, or offline in a device like a USB. Unlike a financial institution or a brokerage account where your heirs might come across this paperwork after you pass away, there are usually no account statements associated with cryptocurrency, and it is likely that your heirs don’t even know that you own it unless you reference these assets in estate planning documents.
For further information about how to disclose crypto assets in the estate planning process and how to transfer them effectively, schedule a time to meet with an experienced and knowledgeable estate planning attorney in your area.