Blog
Tips for Dealing with Your Digital AssetsJan 19 2026 By: John Drapp Posted in: Business, Estate Planning Digital assets are a category of commonly overlooked property that plays a crucial role in your estate plan and the legacy you leave behind after your death. It’s all right if you did not consider these items when you first created your will or trust; such a mistake is surprisingly common and, luckily, easy to correct. What are digital assets? They include all of the following:
These types of digital assets often carry significant monetary value and, in some cases, generate substantial income. Examples include cryptocurrency wallets, domain names (URLs), monetized YouTube channels, influencer accounts, and digital business platforms. These assets may represent a meaningful portion of your estate, sometimes even its most valuable components. You can’t afford to adopt a wait-and-see approach. Whether or not you proactively plan, your legacy now includes more than just the monetary inheritance, family heirlooms, and personal property you intend to pass along. In today’s world, you must also consider and create a plan for your digital assets. To that end, here are some tips to help you create or update your plan to properly manage, transfer, or preserve your digital assets. 1. Inventory your digital assets. Make a list of every online account you use. If you run a business, be sure to include spreadsheets, digital records, client files, databases, and other digital business documents. Not only will you need this information for your estate plan, but it will also play a crucial role in any business succession plan you create. If it exists online or in the cloud, connects to it, or pertains to it, put it on the list for your attorney and your trusted decision-makers (agent under a power of attorney, executor, or successor trustee). This list can act as a critical resource when someone needs to step in to manage your digital assets. 2. Designate a Digital Fiduciary (Sometimes Called a Cyber Successor): This is someone you trust who can access your online accounts and business on your behalf if you are incapacitated or after your death. In most cases, this person will also serve in a traditional fiduciary role, such as your agent under a power of attorney, trustee, or executor, depending on when the person is serving. Access to digital assets is governed by state law (such as the Revised Uniform Fiduciary Access to Digital Assets Act, or RUFADAA, enacted in most states including Connecticut) as well as the terms and conditions of each platform. You should keep your access information secure and consider using the online tools offered by providers (such as Google Inactive Account Manager or Apple Digital Legacy) to ensure your designated fiduciary can act quickly and legally if the need arises. 3. Determine the necessary tools to properly record and carry out your wishes and ensure that your legacy continues as you want. Depending on your unique situation, it may be advisable to fund some of your digital assets into a trust or even include specific access in a power of attorney. We can help you determine the best way to protect and pass on your digital assets, select your trusted decision-makers and beneficiaries, and ensure that the right tools are in place so your assets can be accessible when needed. The laws in this arena are evolving constantly, so any planning you have done in the past needs to be reviewed and possibly updated as technology and the law continue to change. Potential Pitfalls of Failing to Plan for Digital Assets The worst thing you can do is nothing. Inaction could result in the loss of digital family photo albums, disruption of your business if you are incapacitated, or worse. If this process feels daunting or you are unsure where or how to start, call us. We can help you identify, track, and protect your digital assets to give you peace of mind. Add your comment (for display after moderator approval) |