Death is inevitable, and unfortunately, it sometimes comes sooner than one thinks. For this reason, estate planning, which may involve setting up trusts or creating wills, is critical no matter how old an individual may be. This is particularly the case for individuals in Virginia who own cryptocurrency assets.
Cryptocurrency is skyrocketing in value. In fact, some fortunate investors have amassed millions and even billions of dollars’ worth of crypto assets recently. However, when they pass away, their assets may not end up in the intended hands if they have not taken estate planning seriously.
When it comes to cryptocurrencies, documenting all crypto assets owned in an estate plan is critical. In addition, the asset owner may want to keep an electronic version of his or her crypto asset passcode in what is called a digital wallet. At the same time, storing a written copy of the passcode in a safety deposit box may be expedient. How to access this code can then be added to the instructions included in the asset owner’s estate plan.
Estate planning is important whether a consumer has a few million dollars’ worth of crypto assets or only a few thousand dollars in the bank. Anything of value that could be passed down to the next generation is generally worth protecting with trusts or wills. An attorney in Virginia can help asset owners to decide how best to go about estate planning to make sure that their valuable items end up in the right hands when they pass away.
Source: cnbc.com, “That fortune will be lost if you don’t add cryptocurrency assets to estate plan“, Barry Glassman, May 1, 2018