Digital Asset Management: Fund Recovery After a Death

The loss of a loved one represents a difficult moment that, in addition to emotional pain, carries significant accountability related to the management of their assets. In today's digital age, financial assets and cryptocurrencies require specific procedures for their recovery by the heirs.

Legal procedure to recover funds

To access the digital funds of a deceased person, beneficiaries must initiate a structured legal process:

1. Obtaining essential documentation:

   • Official death certificate
   • Valid government identification
   • Specific claim forms from the financial institution
   • Testamentary documentation when applicable

2. Determination of the type of account:

   • If the account has designated beneficiaries, they can claim directly
   • For accounts without a beneficiary, a formal succession process will be necessary.

Special Considerations for Digital Assets

Cryptographic assets present additional challenges that require special attention:

• Access to digital wallets: Without private keys or seed phrases, funds may become permanently inaccessible.
• Accounts on exchange platforms: Major platforms have established protocols for cases of the account holder's death.

Preventive recommendations

To facilitate the transition of digital assets in the event of death:

• Secure documentation: Keep an encrypted record of keys and accesses in a secure location known to trusted individuals.
• Communication with heirs: Inform trusted family members about the existence of digital assets and their location
• Digital estate planning: Consider specialized services that allow the transfer of digital assets as part of an estate plan.

It is advisable to consult with a legal professional specialized in succession law and digital assets to ensure that the process is carried out in accordance with current legislation and the policies of the corresponding financial platforms.