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Dividing cryptocurrency in your divorce

On Behalf of | Nov 3, 2021 | Divorce & Separation |

When it comes to dividing property in a Minnesota divorce, you may find that some assets are easier to split and transfer than others. Cryptocurrency, or digital currency, has surged in popularity in recent years. Many former couples are finding it to be a point of contention in their splits.

According to GoBankingRates, about 14% of the U.S. population currently own at least one form of cryptocurrency. While there may be complications associated with dividing it, it may also hold considerable value. So, you may be remiss not to consider it when working through the process of asset division. Know that when it comes to dividing cryptocurrency, you may encounter the following challenges.

Finding it

Cryptocurrency may be easier to conceal than other assets, such as homes or standard bank accounts. A forensic accountant or another type of financial professional may be able to help you determine if your spouse owns cryptocurrency if you are unsure about it. This individual may be able to examine computer hard drives, tax returns and other areas to determine whether your spouse holds digital currency.

Placing a value on it

Cryptocurrency is volatile, and its value may change quite a bit from week to week or month to month. As a result, you may need to figure out a way to split it using percentages, rather than specific dollar amounts, to account for changes in its value.

Increasingly, spouses are making attempts to hide cryptocurrency from their exes. If you suspect yours is doing so, it may benefit you to get to the bottom of things.