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Hidden assets in divorce: Cryptocurrency posing a challenge

It’s difficult to find cryptocurrency online. Divorcing Louisiana residents who are intent on hiding assets during their divorces may use this to their advantages. It’s something the legal profession has been wrestling with for a while now. There are more divorce cases heading to court that involve these kinds of hidden assets, and statistics show that the majority of people who own these assets are men under the age of 30. That’s also around the average ages of couples divorcing in the country.

Bitcoin, a common form of cryptocurrency, has been utilized as a loophole for hiding assets. Modern technology has given financially deceitful spouses the one-up since it is almost impossible to find these assets, especially if they’re not held on an exchange. The only way it may be possible to find them is to hire a forensic accountant and then petition a court to seize and search a person’s electronic devices, such as cell phones and iPads.

Traditionally, a court could order a central monetary authority, like a bank, to give the other spouse spouse the money he or she owed; however, there is not central authority that governs cryptocurrency. The law, as it stands, is limited in what it can do in these cases. The courts may be able to order a freeze on the assets, though.

A Louisiana attorney can help a divorcing client who suspects a spouse is hiding assets. The law states that hidden assets are against the law in divorce proceedings and each individual has to be totally transparent when it comes to finances. A prudent legal team will always act in the best interests of the client and that means helping with challenging issues like a spouse who may be hiding assets.  

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