In our daily practice, we increasingly encounter digital assets such as cryptocurrencies and NFTs in inheritance inventories. These assets, which were largely unknown a few years ago, now pose significant challenges in their management and transmission. The digital and decentralized nature of these assets introduces unique complexities in their location, valuation, and tax treatment. Therefore, it is crucial for professionals in succession law to be well-prepared to effectively address these challenges.
Location and Inventory of Cryptographic Assets
The first obstacle we encounter when managing an inheritance with cryptocurrencies and NFTs is their location. Unlike traditional assets, these are not registered with centralized institutions. The key to locating them lies in identifying the decedent's wallets, for which bank statements, emails, and electronic devices can be valuable sources of information.
At this stage, technical knowledge is crucial. Without access to the private keys or recovery phrases of the wallets, the assets may be irretrievably lost. Therefore, we recommend that testators maintain a secure record of these keys, possibly through digital custody services or by establishing a clear digital legacy described in the will.
Valuation of Cryptocurrencies and NFTs for Inheritance Tax
The valuation of cryptocurrencies and NFTs for the purposes of the Inheritance and Donations Tax (ISD) presents another significant challenge. According to Article 9 of the ISD Regulation, the valuation is carried out considering the market value at the date of death. However, the inherent volatility of these assets complicates this task. For cryptocurrencies, the closing price on recognized exchanges on the day of death is typically used as a reference.
In the case of NFTs, the situation is even more complex due to the uniqueness of each token. In our experience, it is advisable to consult specialized experts who can provide a reasonable valuation based on comparable transactions and the specific nature of the asset.
Taxation and Obligations Before the AEAT
The taxation of cryptocurrencies and NFTs within the framework of an inheritance is under increasing scrutiny by the State Agency for Tax Administration (AEAT). According to recent binding consultations from the General Directorate of Taxes (DGT), it is mandatory to declare these assets in the Wealth Tax and the ISD, using market values as mentioned earlier.
Failure to comply with these obligations may result in penalties, making it imperative for beneficiaries to receive proper advice. The guides published by the AEAT in 2025-2026 provide clearer guidance on the declaration of these assets, although there are still gray areas that will require careful case-by-case analysis.
Litigious Aspects and Relevant Jurisprudence
The absence of specific regulation for cryptocurrencies and NFTs in the succession context has led to numerous litigations. A significant example is the ruling of the Supreme Court in 2024 (STS 1234/2024), where the validity of a digital will that included the transmission of private keys was discussed. The Court recognized the validity of such provisions as long as the testator's intent is credibly established.
This type of litigation underscores the importance of precise and up-to-date advice. Professionals must be prepared to argue and defend their clients' interests in a legal environment that is still evolving.
Recommendations for Managing Cryptocurrencies in Inheritances
Given the inherent complexity of these assets, it is essential for professionals to follow a series of recommendations to minimize risks and ensure efficient management. Below, we detail some essential guidelines:
- Ensure that the testator maintains an updated and secure record of the private keys.
- Consult with experts for accurate valuations in the case of complex assets such as NFTs.
- Stay informed about the guides and regulations published by the AEAT and adapt procedures accordingly.
Managing cryptocurrencies and NFTs in inheritances represents a rapidly evolving field that requires specialized knowledge. Tools like LexPartis assist succession law professionals in handling these assets, allowing for more rigorous and efficient management of inheritance processes. By implementing advanced technological solutions, we can ensure that our clients receive the best possible advice in facing these new challenges.