Although acquiring digital currency is increasingly common in this day and age, it is also an area which, due to its relatively recent surge in popularity, is often overlooked when people are having a new Will drafted.
Cryptocurrency or digital currency (such as Bitcoins) is big business, with a very large (and unquantifiable) number of investors worldwide, and it doesn’t seem to be slowing down anytime soon.
This can mean that as its use becomes more mainstream, and as a larger proportion of the population holds assets that include cryptocurrencies, it is important that people have Wills that accurately document these assets, and of course, effectively deal with their disbursement to beneficiaries.
Most Wills being drafted these days should automatically include a reference to digital assets, but if yours doesn’t, it may be time for an update.
While the actual reference to digital assets in your Will is important, the ability for your executor/beneficiaries to access those digital assets (via your digital wallet e.g.) is an absolute necessity because without this, the risk of the digital currency being lost is high. Unlike traditional banking institutions, digital currency is highly unregulated, and there is no central company or authority who governs its use.
Another area pertaining to digital assets which is often not considered in sufficient detail, and which can cause significant issues at a later point is your email accounts, domain registrations and other relevant online/digital accounts which are held in your name. Again, if your executor or beneficiaries do not have the details to access these, then there is a risk of losing access altogether, or a great deal of work may need to be done to regain access after your passing.
We strongly recommend to our clients that they ensure that their executor (or beneficiaries) are kept informed of up to date access details to any such assets, or that they are stored somewhere securely and the executor/beneficiary is aware of this storage location.
If you wish to discuss your current estate plan and Will, or wish to update your current Will to include digital currency that you may hold, please contact our office today on 5563 8970 to make an appointment with one of our experienced Wills & Estate Planning Lawyers.