Spouses may hide assets for a variety of reasons. However, no matter what the reason is, hiding assets is still illegal, so they will often go to great lengths in order not to get caught.
One of the most popular recent methods involves hiding assets in a digital wallet. But how can you tell if that is the case? What does it mean to hide assets digitally in the first place?
Why do people rely on digital assets?
CNBC discusses the use of cryptocurrency in divorce. Digital wallets have been a viable source of storing digital currency for many years. However, it was not until recently that cryptocurrency and digital assets, in general, fell into the mainstream consciousness. In fact, it was not even until this fiscal year that the IRS deemed digital currency as taxable income.
Because of this, many people have used cryptocurrency and other digital wallet assets as a way of hiding their money without leaving behind much of a paper or digital trail. For example, cryptocurrency has remained a popular staple among people who want to launder money.
Red flags from asset hiders
However, a spouse attempting to hide assets in any way will likely have some red flags showing that something is amiss. This includes an increased reluctance to share their digital devices with you, or their financial information, even including simple things like receipts.
It is possible to get an affidavit to search a spouse’s phone or computer if a person believes that they have hidden assets digitally and proof exists on these devices. It is important to get legal aid involved in this process, however, as it is often long and complex.