Cryptocurrency and Divorce
Couples that decide to end their marriages generally must engage in the process of dividing their assets. In some divorce actions, the couples’ possessions and investments have well-established values, and property division is a straightforward process. The worth of some other holdings, like cryptocurrency, is often less clearly defined, which can make the distribution of those assets challenging. If you intend to seek a divorce and you or your spouse own cryptocurrency, it is important to speak to an attorney to assess your options for pursuing a fair outcome. The knowledgeable Dallas divorce lawyers of McClure Law Group have ample experience handling complicated dissolution matters, and, if you engage our services, we will zealously pursue the best legal result available under the facts of your case.Texas Law Regarding Property Division
Texas is a community-property state. In other words, the Texas Family Code dictates that any asset that either spouse acquires during the marriage is presumed to be community property unless there is clear and convincing evidence establishing that it is separate property. For example, if a couple entered into a pre-nuptial or post-nuptial agreement defining certain assets as separate, the agreement will generally be enforced. Further, if either spouse owned an asset prior to the marriage, or obtained property during the marriage via gift, devise, or descent, or as damages for personal injury, it will likely be considered separate property.
Community property belongs to both spouses. Thus, when issuing a divorce decree, the court will order a division of any community property in a manner that it deems right and just, in consideration of the rights of each spouse and any children that were born of the marriage.Cryptocurrency in Divorce
Cryptocurrency is a relatively new type of currency that is entirely digital. It is not issued or maintained by a central entity like a bank or government. There are numerous types of cryptocurrency, and the value of each type of cryptocurrency varies greatly.
Cryptocurrency, like any other asset, may be deemed community property that is subject to division in Texas divorce action. Dividing cryptocurrency or its equivalent worth can be difficult, as it is both easy for parties to hide cryptocurrency transactions and challenging to determine the true value of cryptocurrency.Obtaining Information Regarding Cryptocurrency Transactions
Most companies that issue cryptocurrency keep detailed records, but obtaining such records can be difficult. Cryptocurrency transactions are not easy to trace, as they often do not appear in bank statements or on tax returns. As such, a party in a divorce action that is seeking information regarding cryptocurrency generally must serve their spouse with carefully crafted discovery requests designed to expose the existence of any cryptocurrency accounts and allow them to obtain information regarding any cryptocurrency transactions.
Parties in a divorce action are likely to disagree over the value of cryptocurrency as well. Unlike traditional types of currency, cryptocurrency is not backed by any other asset. As such, its value is open to interpretation. Additionally, cryptocurrency is substantially more volatile than other currencies, and the value of most cryptocurrency assets fluctuates rapidly. It can be challenging, therefore, for parties to pin down its value or agree on a date when the value should be defined.Meet With a Dedicated Dallas Lawyer to Discuss Your Divorce
Advances in technology have added additional challenges to the process of ending a marriage, including how best to value and divide novel assets like cryptocurrency. If you have questions regarding cryptocurrency and divorce, it is in your best interest to speak to an attorney as soon as possible. The dedicated Dallas lawyers of McClure Law Group possess the skills and experience needed to handle complex dissolution matters, and if you hire us, we will help you fight to protect your interests. We represent people in divorce actions in Dallas, Rockwall, Fort Worth, Frisco, Irving, McKinney, Richardson, and Garland. We also help people with family-law matters in cities in Dallas, Rockwall, Collin, Denton, Tarrant, and Grayson Counties. You can contact us via our online form or by calling 214.692.8200 to set up a conference.