Even those Florida residents who may be ambivalent towards technology find themselves using online and digital tools. Hardware, such as smartphones and laptops, allow users to store information on an internal drive. Storing essential documents, including tax returns, could sit securely on a cloud server. And some may opt to expand their investment portfolios by purchasing digital assets, like cryptocurrency. When the time comes for estate planning, making plans for digital assets and other tech items may be necessary.
Digital assets in estate planning
Cryptocurrency refers to a digital currency that could increase or decrease in value. Bitcoin might be the most well-known cryptocurrency, but there are many others. While some may use cryptocurrency to make purchases, others choose to invest in it. Even persons who may not be “tech-savvy” could invest in crypto by taking advantage of a user-friendly platform. Others may opt for the traditional and somewhat anonymous wallet systems available.
When someone passes away, cryptocurrency will become part of their estate. If the executor and the beneficiaries do not know crypto holdings exist, the assets may never go to those who should inherit them.
Estate planning and digital assets
Keeping an inventory of all digital assets and putting them into an estate file would likely help. If the cryptocurrency is accessible through a trading platform app, providing details about a smartphone and the app’s passwords could help. Those who keep the funds in a wallet would also need to present info about its password. Thorough estate planning could give beneficiaries and the executor all the data they require.
Of course, passwords must remain secure to avoid any hacking or other disasters. Putting the estate file in a safe or an attorney’s filing system may preserve security. The file may contain a wide range of information about other accounts, as well.