With Cryptocurrencies exploding since 2009, they’re now beginning to show up in divorce courts across the U.S. Painstakingly difficult to trace and value, it’s best to find a divorce attorney well-versed in cryptocurrencies and who understands how to find, value and split cryptos in your divorce case.
In our current Cryptocurrencies and Divorce series, we discussed situations where cryptocurrency can be found during a divorce settlement as well as the various types of cryptocurrencies and where they can lie if they are being hidden.
If you and your spouse are in the process of a divorce or considering divorce, you may want to tune in. It’s important to have an attorney who understands how volatile crypto is and how to equally divide assets. In order to protect your financial future, it’s absolutely essential to understand how the state of Illinois splits and divides crypto during a divorce settlement.
Here’s a look at how the state of Illinois splits cryptocurrency assets amid divorce.
Cryptocurrencies and Wallets
Crypto first appeared on the scene in 2009, and slowly rose to fame with the public over the course of several years. Since then, divorce courts have seen a large amount of settlement cases dealing with the division of cryptocurrency assets. While there are many different types of crypto on the market, it’s important to recognize some of the most frequently used cryptocurrencies. Some of the most popular include:
You can purchase crypto on exchange networks like Biance, Coinbase or Kraken – some of the most frequently used networks that invest in digital currencies. With low fees, scope for growth, and seamless transactions, it makes it all the more appealing to want to take part in the growing crypto market evolution.
Splitting Crypto in Illinois
There’s a couple different situations where a judge will look at determining the division of assets in a divorce settlement. For example, how do you assess the value of the crypto you have? It’s important to note that crypto is volatile and prices always fluctuate drastically, sometimes within minutes throughout the course of one day. The price swings can significantly affect the settlement of marital property.
Typically, if both parties agree to the settlement they might have to include a formula for the volatility of the crypto. Once the judge approves of the formula, the price of that cryptocurrency in the martial estate becomes more foreseeable.
Dividing crypto in Illinois is similar to the division of any other assets. Illinois is not a community property state, which means the court will split assets purchased, converted or appraised throughout the marriage in an equitable manner. It’s important to note that when it’s split equitably, it doesn’t always mean equal. Here are a couple factors that determine equitable distribution:
- Age, health, financial circumstance of a spouse
- Financial contributions to marital estate
- Court-ordered obligations related to previous marriages
- Child custody considerations
- Prenuptial and postnuptial agreements
- Tax Concerns
- Marriage Duration
- Alimony provisions
If you are ever unsure about the ownership of your property, you should consult legal counsel immediately in order to avoid any uncertainness.
How Masters Law Group Can Help
At Masters Law group we have all cryptocurrency topics covered. If you’re having doubts and suspect that your spouse is hiding crypto and don’t know what signs to look out for, you can find that information here. If you have questions about the different types of crypto and are trying to get acquainted with the market, you can find that information here.
Masters Law Group is here to help you through this stressful time. It’s important to consult your attorney as soon as you find any hidden cryptocurrency and discuss everything you know about the assets such as the type of crypto, the date of purchase and its appreciation. Gather any documents and records you may need in order to get your affairs in order.
Our team of attorneys are highly experienced in dealing with Cryptocurrencies in divorce and are here to answer your questions about divorce and digital asset division.