Could Bitcoin be an asset concealment threat in divorces?

On Behalf of | Jun 18, 2014 | Property Division

One of the main goals when it comes to property division in a divorce should be to come to a fair split of the property. One thing that can get in the way of a fair division is when one party in a divorce conceals assets. Sometimes, unscrupulous individuals will try to hide assets in order to come out of a divorce with more than they are entitled to.

As technology continues to develop at a rapid pace and new types of financial devices arise, an important question to ask is: could these new devices pose an asset concealment threat in divorces?

One type of new financial device that has become quite popular and the focus of much media attention in recent times is the digital currency Bitcoin. Given that Bitcoin is a rather difficult asset to track, one could see how concerns could arise that there may be spouses out there who would try to use this digital currency to hide assets while going through a divorce.

One wonders if states and courts will take actions to try to combat this potential problem. What methods do you think should be implemented regarding the prevention of asset-hiding using Bitcoin?

With the financial world being as complex and fast-changing as it is, spotting hidden assets can be a rather challenging thing. Experienced property division attorneys know what signs to look for when it comes to hidden assets, can conduct investigations into whether there are any assets being concealed in a divorce and can help individuals figure out what to do if it appears that their ex-spouse has in fact taken efforts to conceal assets.

Source: CNBC, “Bitcoin could be used to hide assets in divorces, warn lawyers,” Jane Croft, June 3, 2014