Cryptocurrency can be part of an estate, but leaving it to someone involves more than listing it in a will. Your plan should address ownership, lawful authority, secure access, and the tax records a future fiduciary may need.
Identify what you own and how it is held
Some digital assets are held through an exchange or other custodian. Others are controlled through a wallet for which you hold the private keys or recovery phrase. The practical steps for recovering and transferring these assets differ considerably.
Maintain a secure inventory identifying the assets, the type of custody, and where an authorized person can find appropriate instructions. Do not put private keys, passwords, or a recovery phrase in a will that may become a public court record. Think carefully about access during incapacity as well as after death.
Distinguish access from inheritance
Florida’s Fiduciary Access to Digital Assets Act addresses a fiduciary’s ability to obtain certain digital assets and electronic records from a custodian. It does not, by itself, determine who inherits cryptocurrency or guarantee that a wallet can be recovered.
Under the statute, a qualifying online tool through which a user can modify or delete a direction at all times may give the user’s disclosure instructions priority over contrary directions in a will, trust, or power of attorney. If the user has not made a qualifying online-tool direction, instructions in estate planning documents can be important. The provider’s terms and the nature of the requested information also matter.
A person designated to receive information through an online tool is not necessarily the legal beneficiary of the underlying property. Similarly, possessing a password or private key does not automatically give someone legal authority to use or distribute the asset.
Plan for tax reporting
The IRS generally treats digital assets as property for federal tax purposes. Selling cryptocurrency, exchanging one digital asset for another, or using it to buy goods or services may create a taxable gain or loss. Income received in digital assets may also need to be reported.
Preserve acquisition records, transaction history, and information needed to establish tax basis and value. An estate or trust may need specialized accounting support, especially where assets were moved among wallets or platforms.
Make the plan usable
Choose fiduciaries who are willing to obtain appropriate help, provide suitable authority in the documents, and review any exchange or custody agreement. Consider the risk of theft, loss of access, price changes, and a beneficiary’s ability to manage the asset.
I can help coordinate digital-asset instructions with your broader estate plan. Contact Verras Law to discuss how these assets should be identified and handled without exposing sensitive access information.
Sources: Florida digital-asset disclosure directions; Florida Fiduciary Access to Digital Assets Act; IRS digital-asset guidance.
Updated October 26, 2026.