What about Digital Assets?

Firstly, what are Digital Assets: anything that exists in a digital format and comes with the right to use. Data that do not possess that right are not considered assets. These include but are not exclusive to digital documents, audible content, motion picture, and other relevant digital data that are currently in circulation or are stored in gadgets such as personal computers, laptops, portable media players, tablets, data storage devices, telecommunication devices, and all apparatuses which are, or will be in existence. (Source: Wikipedia)

Most of us own a significant number of digital assets. Be it domain names, online businesses, bitcoins, as well as data of sentimental value such as photographs and emails. Of those who have digital assets, the vast majority are unaware of what will happen to these assets when we passed. This poses a major concern as legislation regarding digital assets and their transferability or access by executors or beneficiaries on death does not exist in most jurisdictions.

It is apparent that companies operating in the online or digital asset space have different policies in dealing with accounts belonging to deceased users. In most cases, to access or shut down the accounts, your family will need a range of documentation to prove that they have the right or your authority to do so. The increasing deployment of tradeable digital assets will only exacerbate these problems.

Until the laws catch up with technological advancement, may these tips be useful for your just-in-case planning:

• Inventory of Your Digital Assets:
List down the type of asset, where it is stored online, its estimated financial value if any and the login details required to access it.

• Leave clear instructions re the Assets:
For each digital asset on the list, decide how you want your executors/trustees or loved ones to handle them after you pass away. Be as specific as possible.

• Who Will Manage Your Digital Assets?
Do Not assume your executors/trustees or loved ones are tech-savvy. Avoid conflicts and confusion by naming a digital executor as you spell out clearly who can—or cannot—access/manage your digital assets as part of your estate plan.

Summary

Leave Well planning does not have to be complicated. You just need to START.

Planning for the just-in-case is your way of showing how much you care for your loved ones as it requires your time and efforts; to save them pain and hassle.

Remember to review your list regularly to account for any new digital assets you acquire, or for those you no longer own.