For investing, these days, it is a whole new world. Cryptocurrencies like Bitcoin are popular, hard to understand and even harder to trace. When the time comes during a divorce for property division, this type of investment could be hard to value or easy to hide. Individuals entering the divorce process in Wyoming may be able to gain some useful details from a recent news story about this topic.
During a marital dissolution, both parties typically disclose their full financial records in order for the assets to be split. Since virtual currencies are not regulated, it can be difficult to track down the relevant information to link the currency to its owner. A person may be able to hide net worth and assets by using virtual currency.
Even if the cryptocurrency holdings are revealed, they can be extremely difficult to value. This type of financial asset can change value from day to day. If the value of the currency is not fixed, it will be hard to get both partners a fair share. Overvaluation of the currency may lead to financial loss for one partner, but if the full value isn’t recognized, the other party could lose out.
Bitcoin and other cryptocurrencies have the potential to make contentious divorces even more so. Since transparency and stability are important parts of the property division process, the anonymity and value fluctuations can make settling the divorce more complex. An individual in Wyoming who faces this problem at the end of the marriage may choose to consult with an experienced and knowledgeable attorney for more help.
Source: investopedia.com, “Bitcoin Is Making Bitter Divorces Even Messier“, Shobhit Seth, Feb. 27, 2018