What Happens To Your NFTs After You Die? Here's The Answer!
As the burgeoning digital asset sector continues to expand, legal experts are discussing the implications of an increasingly pertinent tech issue: what happens to your NFTs when you die? The lack of legal guidelines in regards to digital assets creates a unique challenge for those who have invested in them.
Crypto-collectibles, such as NFTs, must be properly guarded and managed to ensure there is no impact on value when passed onto another individual. Depending on the jurisdiction, a deceased’s digital assets may be treated as property. They could be subject to inheritance laws, including laws of intestacy, or in other cases, be subject to estate administration and probate.
As life expectancy of users and their legacy investments continually extend, estate planning solutions are becoming relevant. It is important to ensure digital collectibles end up in the hands of the parties you have intended, as protocols and economies will continue functioning and operate with time sensitive rules.
One example of this is the use of smart contracts and wills to regulate the transfer of digital assets after death. They allow the person’s wishes to be carried out, including the creation of safeguards for their crypto-collections to remain intact after death.
Collectors of digital assets, such as NFTs, must be mindful of the legal implications of their investments and have policies in place to ensure any collections and their subsequent value is always protected. It is essential that every user takes responsibility for their digital assets and, with the help of legal advisors, prepares a clear strategy that can protect their NFTs after they die.