Legal experts are warning families to keep track of digital assets or risk “losing them forever”.
The report comes after it was revealed that billions of pounds in digital assets, such as cryptocurrency and non-fungible tokens, could go unclaimed should the owner die without reporting them as part of their estate.
According to the latest statistics, almost one in five Brits (19 per cent) have invested in cryptocurrencies as of February 2021 – compared to just three per cent in 2018.
Likewise, 10 per cent of adults with over £100,000 invested in cryptocurrencies, such as Bitcoin and Ethereum, say the cryptocurrency market is becoming more appealing, compared to just two per cent last year. Meanwhile, one in six (16 per cent) believe cryptocurrencies are the “future of online financial transactions”.
All things considered, it means that cryptocurrencies are unlikely to lose their popularity anytime soon.
So, what are the implications for families?
According to probate professionals, the difficulties in tracking cryptocurrency investments could cause potentially billions of pounds to go missing each year. By comparison, over £1.25 billion worth of physical assets, which are significantly easier to track, are currently sitting in dormant bank accounts waiting for an owner to be found.
To avoid this, Brits should complete a full and thorough estate inventory, including both physical and digital assets, at the time of writing their Will.
This will make it easier to access digital wallets and minimise the risk of digital assets being lost forever when they’re gone.
For help and advice with related matters, please get in touch with our expert Wills and Probate team today.