Divorce can be an uneasy and confusing process. Among the many important factors to consider, one of the most time-consuming is how property will be divided. This is especially true when unique components such as cryptocurrency and digital assets are involved.
If you are facing a divorce and are uncertain of how the process of dividing cryptocurrency in Alpharetta works, a division of assets lawyer can be an indispensable ally. At the Atlanta Divorce Law Group, our skilled firm can help you better understand cryptocurrency and ensure your spouse is not hiding these or any other type of marital assets. Call our qualified team today to schedule a consultation to learn more.
Cryptocurrency is the latest in the evolution of money for goods and services. The crypto in cryptocurrency speaks to modern cryptography – or computers using code to send messages. Cryptocurrency was launched with the idea of using advancements in coding and cryptography to invent a new way to think about a peer-to-peer exchange of money without the need for a bank, credit union, or other government institution.
One example of a digital asset that helps people understand the concept of cryptocurrency is credit card points. Every time something is charged on the card, points are accumulated. These points cannot be seen or touched and are only stored digitally. However, they can be used to redeem rewards, pay for a trip, or make purchases.
In short, cryptocurrency is a digital form of monetary asset that is acquired, stored, and verified independently from governmental banking institutions. A well-versed Alpharetta attorney can help individuals understand what qualifies as cryptocurrency during a divorce and how that property is divided.
In Alpharetta, digital assets such as credit card points, frequent flier miles, membership subscriptions, and cryptocurrencies are divisible in a divorce proceeding. The same guidelines for allocating other marital property such as real estate, physical money, gifts, and retirement will apply. For example, if crypto was owned before the marriage, it would be considered a personal asset. In contrast, bitcoin acquired during the union is marital property and eligible for equitable distribution and exchange.
Most cryptocurrencies purchased or acquired recently are stored on the blockchain, which is essentially bookkeeping for crypto that tracks the movement of all buying and selling. Anyone that wants to spend the time and energy can view where every bit of crypto is owned, which means it would be more difficult for a divorcing spouse to hide assets.
However, if one party of the divorce was an early adopter of cryptocurrency, this information may not be on the grid, as many people used to store it themselves. Finding out if someone has ever mined crypto is a good way of estimating how easy tracking it will be.
It is also important to note that these assets can be legitimately lost. If the code is forgotten or the drive where the currency was stored was damaged or destroyed, the value cannot be unlocked. A legal professional who understands these concepts and can ask the right questions to uncover hidden assets is imperative to accurately accounting for all marital property.
If you are considering filing for a divorce in Alpharetta and are unsure how cryptocurrencies will be divided, enlist the help of a trusted family attorney. Our Atlanta Divorce Law Group team can help you find out if your spouse has crypto and take action to find, and equitably distribute, these and other digital marital assets.
Call our firm today to schedule a free consultation with a qualified associate.