What Happens to Your NFTs & Crypto Assets When You Die?
Do you know that around 4 million Bitcoins have been permanently taken away from circulation as a result of people dying and failing to give their private keys?.
These keys (passwords) allow you to access your crypto wallet, which is where your crypto currencies and NFTs are safely held.
Although death is not a pleasant subject to discuss, it is critical to plan for your heirs once you pass away. The risk of losing or misplacing cryptocurrency is higher than that of traditional assets.
In this article, we explain what happens to your crypto currencies and NFTs when you die, how to set up your digital wallets so that your loved ones may access them safely after you pass away.
Importance of Private Keys
Cryptocurrencies are held in crypto wallets based on blockchain technology, which encrypts digital assets and makes it impossible for third parties to access your private keys.
You can’t claim ownership of any crypto assets until you have the private keys. If you don’t have private keys, court orders or any other legal document will be useless.
It’s crucial to think about who will have access to your digital assets after your death.
Keep in mind that not only must you choose someone you can trust to have access to your crypto wallet, but you must also select somebody who is technologically aware and can retrieve your crypto wallet.
Store all your usernames, passwords, exchange details, private keys etc. in a place. Now make a step-by-step manual guide or walkthrough so that your loved ones can access your digital assets after your death.
Now store all of them in a hardware device or physical file. Consult your lawyer & include it in your bequest or testament. But make sure to keep them 100% secure from stealing or hacking.
If you die of any bad luck, your digital assets will be handed over to your inheritors. In this way you can save your digital assets for your loved ones.