Are your digital assets inheritable by your next-of-kin?
Digital assets are very unlike our physical assets or off-internet accounts. If you have read enough news pertaining to inheritance in Malaysia, physical assets and off-internet accounts inheritance are pretty straightforward. All you need to do is to list all of them down in a will and have it legalize it. Once it is legalized, your named legal beneficiaries will receive their portion of the listed assets.
However, what happens when it is your digital assets that have a high value? Take, for example, your cryptocurrency accounts and your social media accounts. Those have different levels of value. Your next-of-kin would surely like to have a share of it if it benefits them in the long run. In this article, we will see what will happen to your digital assets when you have passed away.
What are digital assets?
If you don’t know what digital assets are, allow me to elaborate that in simple words for you. Digital assets basically mean your cryptocurrency accounts, social media accounts, emails, and every other internet accounts. As long as it is an internet account, it is considered a digital asset.
However, do not confuse this with your personal banking account as it is like your “physical” banking account. When you have passed away, the money in your bank account will be handled very differently from your digital assets. Digital assets weren’t really perceived in the very same way.
What will happen to your digital assets then?
When it comes to how digital assets are being handled when you have passed away, they are divided mainly between your social media accounts and your digital financial accounts. Read further to find out how they are handled when you are no longer around.
Social media pages
Some social media pages have a feature where it allows you to memorialize your account when you are no longer around. Facebook is a known platform to do something like that. When you are no longer around, someone you have appointed will look after your Facebook account.
When your Facebook account has been memorialized, your profile will have the word “remembering” next to your profile name. Your Facebook friends can also share memories of your timeline to their own timelines. There are several other features that come with the memorialized feature.
You should definitely include your social media accounts besides Facebook in your will. It’s easier that way as it is easier for the executioners and lawyers to handle all aspects of your affairs.
Sometimes, some people, do not wish to keep their social media accounts around any longer after they have passed away. That is understandable as some people may not want to be remembered that way. It is important to list your social media accounts in your wills nonetheless and leave sufficient information on what to do with it. That way the executioners and lawyers can help you shut it down properly.
Leaving cryptocurrencies in your wills work pretty similar to leaving your bank accounts and other properties. Except that there is a bit of an extra step here. You will still need to list all cryptocurrency accounts you have in your will. Mention what cryptos you have and how much you have in the e-wallets.
Next, you will need to list down the login IDs for your crypto accounts. It doesn’t sound very hard, does it?
What’s more complicated here is how to get your beneficiaries to get the amount of money you have in cryptocurrencies. Sometimes it’s quite difficult to log into the crypto accounts as not everyone is tech savvy. If that is the case, you will need to leave behind a set of instructions on how to log into the accounts. Make sure the set of instructions is a step-by-step guide so it is easier for your beneficiaries to log in.
Next, you will also have to prepare a set of instructions on how to withdraw the profits left in your crypto accounts. Again, make sure that the instructions are easy to comprehend. Worst case scenario, you can get your lawyer to help out. Guide your appointed lawyer if you have to.
NFTs, frequent flyer points, and other software items
If you own NFTs, frequent flyer points, and similar software items, you can also list them down in your will. This also includes music and movies that you own. It may take a long time here for you to list down all these smaller items in your wills but it’s worth it.
Many people think that these smaller things don’t mean much as many people don’t see value in it. Although it is a fair point, some family heirlooms may have monetary values in the long run. Who knows anyway? Just list them down for your beneficiaries. They may want to legally own it eventually.
You may not think that digital assets mean anything. They do. Hopefully, after reading this article, you will have a better understanding of what will happen to your digital assets when you’re gone.