Topic: Using Bitcoin to Hide Assets During Divorce (Read 106 times)
It can only be liquidated if both parties agree that their crypto assets will be divided when they divorce and it is written on an official document, and both parties must know the private key or password to the exchange.
Unless it's part of declaration of the couple that it's their marital and conjugal asset, then the law can do something with it. I think I've seen a thread that deals with this topic. What if there's a married guy or gal that kept on investing in bitcoin without telling their partners.
And when the worst comes to their relationship, they won't declare that they've invested into bitcoin. Well, that's easy for them. It's an escape that they've planned for as they get into divorce.
And when the worst comes to their relationship, they won't declare that they've invested into bitcoin. Well, that's easy for them. It's an escape that they've planned for as they get into divorce.
Cryptocurrency is just like any other assets, hence it might be considered as a marital property. During divorce it could be liquidated and their cash value divided among the couples or exchange for a larger share of other types of marital property.
But unlike other marital assets, cryptocurrencies are specifically designed to be difficult to find. With crypto, there is no financial institution to subpoena for account, and the money is often concealed in a digital wallet which bears no name.
Another concern that couples face is their lack of knowledge of crypto operations. This problem arises when only one partner is involved in the crypto market while the other spouse has little or no knowledge of the operations of the crypto-space. This information gap gives the knowledgeable couple the advantage of hiding crypto-funds.
The cost of hiring forensic experts to search for cryptocurrency tickers, login credentials for exchanges, or keys for certain types of digital wallets is another challenge. Most couple might not have the financial backing to pay the bills.
But unlike other marital assets, cryptocurrencies are specifically designed to be difficult to find. With crypto, there is no financial institution to subpoena for account, and the money is often concealed in a digital wallet which bears no name.
Another concern that couples face is their lack of knowledge of crypto operations. This problem arises when only one partner is involved in the crypto market while the other spouse has little or no knowledge of the operations of the crypto-space. This information gap gives the knowledgeable couple the advantage of hiding crypto-funds.
The cost of hiring forensic experts to search for cryptocurrency tickers, login credentials for exchanges, or keys for certain types of digital wallets is another challenge. Most couple might not have the financial backing to pay the bills.
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