Site Loader

Ever Wondered What Will Happen to Your Cryptocurrency When You Die?

Cryptocurrency has been the buzzword on everyone’s lips in recent times. There’s been a lot of speculation on the reliability and stability of such digital assets that operate on a decentralised, peer-to-peer network.


Some experts predict that the monstrous growth of cryptocurrencies such as Bitcoins is not sustainable and should not be trusted. Some others argue that cryptocurrency is the future, and that it’s just going through a volatile period now before it stabilises. Whichever side of the debate you’re on, it is always good to know more about any new technology that comes up, especially something as significant as cryptocurrency, and its relevance from a legal stand point. For instance, what happens to the cryptocurrency that you own if you suddenly die? Is there such a thing as Cryptocurrency inheritance? If yes, how does it work and what should you do with your digital assets to ensure that it gets passed on to your loved ones in the event of your death?

Advantage of Cryptocurrency

One of the biggest advantages of cryptocurrencies, cited by proponents, is the fact that they are not controlled by traditional financial institutions such as banks. But this advantage also comes with a downside. On the event of someone’s unexpected demise, it becomes next to impossible to track their cryptocurrency assets, to ensure that they get handed over to the next of kin. Currently, the only way to ensure that your cryptocurrency gets passed on to the right person is to include it in your will. Another complication with such digital assets is that they are stored in digital wallets, with many passwords, keys and other protection in place to keep them as secure as possible. So, unless one has all the keys and passcodes to access the assets, there is no other way to get their hands on them.

Transferring your Cryptocurrency

If you own cryptocurrency that you want to be passed on to your spouse or children after your death, the best route to take would be to specify it in the will and provide them with all the necessary information. Of course, every care must be taken to ensure that the information is passed on in a secure manner, leaving no room for a security breach.
It’s early days yet, with the government still grappling with setting up laws and regulations in place concerning cryptocurrencies. When it comes to cryptocurrency and estate planning, the only way to go about it is to explicitly state your wishes in your will and provide the intended heir with the passcodes/keys to gain access to your cryptocurrencies. Failure to do so might meant that the cryptocurrencies will be lost forever, left unclaimed in the vortex of the digital world.

Share this page




    I have found Platinum Lawyers to be friendly, helpful, and effective in a number of different fields of law they have assisted me with. I make no hesitation in recommending them!

    Share this page
    Corey C

    I would have no hesitation in recommending Platinum Lawyers for any future litigation matters. I found them to be very professional and their response and communication was always timely and efficient. Although the matter was unpleasant, the result and my experience was favourable. Regards

    Share this page

    “Very competent and professional”.

    Share this page
    BN 2009

    We feel Platinum Lawyers as a whole and as individuals have a great feel for the ‘customer’ and go out of the way to help.. excellent!”

    Share this page
    SS 2011

    “I think that your firm has provided excellent service regarding settlement of my wife’s estate and my recent sale of a property and arranging the discharge of my mortgage. Your the best!”


    Share this page
    Show Buttons
    Share On Twitter
    Hide Buttons