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Should you worry about your spouse’s digital wallet?

On Behalf of | Apr 22, 2022 | Family Law

When going through divorce, asset division often serves as one of the biggest issues you may face. It is a time-consuming process and often costs quite a bit in judicial fees, too.

Unfortunately, it can get even more complex if your spouse decides they want to try hiding assets. If they have a digital wallet, you may want to keep an eye on it.

Using cryptocurrency as a cover

CNBC discusses the use of cryptocurrency in asset hiding. Up until this year, not even the IRS kept close tabs on a digital currency like bitcoin. Not many ascribed worth to it or even understood what it was.

Of course, this left a wide door open for people who wanted to do financial interactions without much oversight. In short, cryptocurrency became a hotbed for illegal financial activity. Many people used it as a way to launder money or carry out fraud schemes.

Likewise, people trying to hide assets during divorce turned to it as well. They knew that their spouse likely would not understand the importance of a digital wallet, or may not even have an awareness that one existed in the first place.

Of course, as time went on, the situation changed. Now, the mainstream has an awareness of cryptocurrency. This makes it harder for people to try using it to hide assets.

Red flags to watch for

You can make a decision on whether or not you want to pursue investigation based on whether or not your spouse appears to act strangely regarding their wallet. For example, have they changed their spending behaviors? Do they refuse to share financial information with you willingly? Do they seem nervous to let you near their electronics? These could all point to signs of hidden assets.