While death and money are touchy subjects for most of us, they’re topics we all have to face in order to best protect our loved ones. For the majority of crypto investors, the last thing we think about is where our crypto will go when we die or consider cryptocurrency inheritance in our legacy planning. However, like your traditional wealth (no matter how small that may be), it’s extremely important that you take control of your digital assets and plan where they will be dispersed in the event of your death and what impact it will have on your family when it comes to bitcoin taxes and what cut the tax man will want.
There have been many cases in which a crypto hodler has suddenly passed away, but they have not secured their assets in time, to ensure that their family or friends receive it after their death. Instead – they’re just left in their cryptocurrency wallet, and their family have little to no chance of ever accessing them. These coin are simple lost.
Where to leave my Bitcoin inheritance?
There are multiple platforms available for those who own crypto and want to safeguard their digital assets, leaving wallet codes and access to pass on should the worst ever happen, simplifying the whole process of passing on your digital assets to your loved ones. Make use of Lexikin for your cryptocurrency inheritance planning.
With Lexikin you can name your executor, who will ensure your wishes are carried out. This can be a legal entity or if you have a lot of crypto, a Bitcoin accountant who will understand exactly what’s required to pass on your legacy.
An important step to take in securing your crypto is to make your potential heirs are aware of your portfolio, or at least who to contact to receive access in the event of your death. Billions of pounds worth of Bitcoin has been lost due to negligence or because the owner has passed away, without their family even knowing about it – let alone knowing how to access it.
Tell your family about your cryptocurrencies
It’s handy for your heirs to understand the basics of crypto exchanges, wallets and devices, so informing them about the basics of crypto and the technology surrounding is a good idea – no matter how far away you think your death is – it has a habit of catching you surprise.
We spend hours searching for the most secure digital wallets, I mean, the whole point of digital wallets are for their security, and let’s face it – you’d be pretty disappointed if they could access it easily without help, even if it is in the event of your death.
A few crypto exchanges have taken upon the fact that many families try to access the deceased’s crypto portfolio and are unable to due to security purposes. However, now their portfolio can be reachable providing that they have proof of a death certificate and their will – so make sure you’re clear about leaving your bitcoin in your Will.
Although the last thing your family is thinking about is your crypto upon your death, it will be nice for them to inherit your hard earned assets. So, making this process as easy as possible will save them a lot of time and hassle trying to work out what ‘private’, and ‘public keys’ are.