How to include crypto in my estate planning?

Digital Vault

How to Include Cryptocurrency in Your Estate Plan

May-14 2024

Cryptocurrency in estate planning has become increasingly important as digital assets gain popularity and value. The term itself can be difficult to understand. Therefore, learning how cryptocurrencies work will help you make informed decisions when planning for their inclusion in your estate plan.

Cryptocurrency assets, such as Bitcoin and Ethereum, are stored in digital wallets, which are accessed using private keys or passphrases. For estate planning purposes, it's essential to securely document and store these access credentials to ensure your digital wealth is managed according to your wishes. With GoodTrust's Digital Vault, you can safely integrate all your cryptocurrency access information into your estate planning documents.

To include your cryptocurrency in your estate plan, start by creating a comprehensive inventory of your cryptocurrency holdings. List all the cryptocurrencies you own, their respective quantities or values, and the storage methods or platforms you use to store them. This inventory will serve as a starting point for your estate plan. Next, you'll want to designate a Trusted Contact. This individual could be a friend, family member, or a specialized service provider who is knowledgeable and experienced with cryptocurrencies. Naming a crypto executor ensures that someone you trust is ready and able to manage your digital assets according to your wishes, in the event you are unable to do so yourself. Clearly state your intentions regarding the distribution or transfer of your crypto assets, the designated beneficiaries or recipients, and any conditions or instructions you want to impose. You should also ensure that your crypto executor or trusted individuals have access to the necessary documentation, such as your will, trust documents, and specific instructions regarding your cryptocurrency holdings. 

Cryptocurrency is a dynamic and evolving field, and your holdings may change over time. Regularly review and update your estate planning documents and Digital Vault to reflect any changes in your cryptocurrency assets. This includes updating your inventory, access information, and instructions to ensure they remain current.

Remember, estate planning involving cryptocurrencies requires careful consideration and proactive measures. By following these steps and seeking professional advice as needed, you can ensure that your digital assets are appropriately managed and distributed according to your wishes.

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