An unfortunate occurrence in divorce cases is when a spouse hides assets. While seasoned divorce attorneys are experienced in tracking down undisclosed bank accounts, stocks and bonds, cryptocurrency adds a level of complexity. A recent article in Family Lawyer magazine explained why cryptocurrency can lend itself to financial deception, and how it can be detected and recovered.
Bitcoin is a type of cryptocurrency, as are Ethereum, Litecoin and Stellar. Cryptocurrency is digitally based and encrypted; it is therefore easy to conceal. Cryptocurrency accounts need not include ownership information. There is no central authority overseeing it, so there is no bank or entity that can be issued a subpoena or court order to disclose the accounts and their value. Given all that, it may be necessary to call in a digital forensics specialist to uncover cryptocurrency accounts.
Still, once the accounts are identified, how can the funds be recovered?
There are several ways, noted the article. The easiest is to elicit a confession from the spouse that attempted to hide the asset. However, attorneys may use a court order to repossess or seize the funds, or spouses may wish to initiate civil or criminal action if there’s evidence of fraud or perjury. “Non-disclosure of cryptocurrency assets during divorce remains largely untested legally in most jurisdictions, but it is likely to become a far more common issue in the common years,” noted the article.
If you need a Bucks County divorce attorney experienced in ensuring that all of your marital assets are identified, contact Williams Family Law at 215-340-2207, or email firstname.lastname@example.org.