If you don’t invest in cryptocurrency personally, then you are likely to have friends , family members, or colleagues who are doing so at this point. Cryptocurrencies have emerged from a very niche sector to becoming almost fully popular, and they have achieved so within a relatively short period. Now that they’re so omnipresent, there’s a new question to argue with, and that’s how cryptocurrencies are handled in the process of divorce. Find additional information at ethereum eco-system
The identification and allocation of financial properties and the specification of alimony payments are key problems that need to be settled during most divorce proceedings. There are many tools at the disposal of an attorney for disclosing financial assets, but when you combine Bitcoin and divorce, you’re left with something completely new.
For several huge reasons, managing Bitcoin and divorce is distinct from dealing other financial assets. All of which is their sheer uncertainty in interest. It has been known that bitcoin and other cryptocurrencies undergo absolutely wild swings in value, both up and down. Therefore, interest will either continue to be monitored and modified on the fly, or set at a specified period where anything far worse may end up worth down the road. It’s a less than desirable situation in any scenario for assessing and sharing properties or establishing alimony.
Another key issue that needs to be understood between cryptocurrency and divorce is that these markets and their transactions are both anonymous and safe. Looking up an individual ‘s holdings, records, or expenses is not the same as reviewing a bank account, retirement account, or stock portfolio. At best, it will be difficult to trace an individual’s crypto accounts, and whether or not the courts are putting any subpoena power behind that remains unclear at this time.
Clearly this is just the start of the Bitcoin and divorce problem, as all cryptocurrencies are still on the rising. As more people begin or continue to use them and become more common and accepted, it will continue to be in the spotlight on how they are handled as financial assets during divorce proceedings. It’s the fact that they rose so fast to start with that has left many people off guard with how to treat them in such matters today. Keep in mind that Bitcoin was introduced less than ten years ago.
Be sure to consult an experienced professional in your local area, as always. While there is still a lot of uncertainty about how Bitcoin and divorce will be handled, and what sorts of decisions may await us in the future, a qualified divorce attorney will be able to guide you through the process and provide guidance into the areas of financial exploration and all facets of an unresolved issue.