Divorce cases face challenges with asset division due to Bitcoin and NFTs

The emergence of digital assets such as cryptocurrencies and non-fungible tokens (NFTs) has added a layer of complexity to divorce cases.

These assets pose unique challenges in terms of identification, valuation, classification, and enforcement, necessitating legal professionals and their clients to adjust to these new circumstances.

Identification of digital assets can be particularly tricky, with cryptocurrencies and NFTs being easily hidden or moved between different platforms, making them hard to spot.

Given that these assets are typically kept in private digital wallets, spouses may try to keep them concealed. In accordance with English law, comprehensive financial disclosure is mandatory during divorce proceedings, but identifying these assets often requires the expertise of forensic specialists with knowledge of blockchain technology.

Even with their expertise, these experts may face difficulties in valuing these assets, as the valuation of volatile cryptocurrencies like bitcoin or ethereum is a complex task.

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