Going through divorce, one of the biggest headaches will almost certainly come in the form of asset division. Unfortunately, many factors can complicate this and make it an even bigger headache to deal with, too.
This includes digital assets, which have caused a stir on the divorce scene for years now. However, it was only somewhat recently that the true impact got discovered and acknowledged.
Digital wallets and their role in divorce
CNBC discusses how some people hide their assets via cryptocurrency. Cryptocurrency once existed in a peculiar space that lacked many regulations and did not seem to have much monitoring by way of the government.
Because of this, many people relied on it to make somewhat illegal transactions. This includes people interested in crimes, such as money laundering outfits. It also included average, everyday individuals who simply wanted to hide assets from their spouses.
How it works
Digital wallets acted as a hiding place for people to store money. No one would really know to check these places, and thus the money invested in bitcoin or other cryptocurrencies would often go undiscovered.
Then, after the divorce got finalized, the person could either continue investing in bitcoin or they could choose to remove their stocks from the market. This allowed them to take that money and use it or keep it as they wished, without their spouse ever having any idea that it existed in the first place.
Of course, this still counts as hiding assets and it is still illegal. Spouses who suspect their significant other of hiding assets in this way should consider looking into the matter further.