Dividing Digital Assets In Your Texas Divorce

With rapid advances in technology, divorces are changing rapidly, too. Every day, Texas divorce attorneys encounter new issues that affect divorcing couples. From NFTs to blogs that generate revenue to access to family photos in the cloud, lawyers help their clients navigate conflict and achieve the best possible outcomes. Here are some of the issues we're seeing lately related to dividing digital assets in Texas divorces.

Dividing NFTs and Cryptocurrency in a Divorce

Cryptocurrencies and NFTs (unique tokens on a blockchain) are recognized as a form of currency in Texas under House Bill HB4474. As a form of currency, they're considered to be a marital asset and should be part of the division of all assets during the divorce process.

Valuing cryptocurrencies and NFTs can be complex, however. Their values can change from minute to minute, and the markets never close. With values historically going up and up, many couples do choose to divide and retain their crypto rather than selling it. However, your lawyer may recommend a specialist who can consult on the valuation and division approach that's right for you, as well as the tax implications of any sale.

Hiding cryptocurrencies is also a big issue in divorces. In marriages, it's common for one spouse to have more knowledge of the crypto than the other. That spouse may know the exact amounts purchased and have control over the passwords. If they're not playing fairly, they may be in a position to hide or misappropriate marital assets. You may not even know if your spouse is one of the 20 million Americans who own crypto.

Dividing Income From Social Media, Blogs and Websites in a Divorce

Social media accounts, blogs, websites and e-commerce platforms (like Etsy stores) can also be a challenge to divide in a divorce when those digital properties are important to your family's revenue stream. If you're heavily involved in an online business, it's critical that you keep detailed and accurate records.

All of those digital accounts are subject to property division in Texas divorces. Because Texas is a community property state, courts generally subject all marital assets to a 50-50 split. However, you and your spouse can agree to an unequal split (or make arguments for one in court) and the judge will consider your case.

Also keep in mind that what you say on social media can be used against you in court. This is especially true when social media has a significant financial impact on your career, like when you have a large professional digital media presence or your primary income is through your work as an influencer. If you tank an ex's career, it could have significant legal consequences. Similarly, an ex who tries to ruin your online reputation could be forced to pay.

Get Help With Your Digital Assets from our Arlington Lawyers

At the Schneider Law Firm, we have significant experiences with dividing digital assets in divorce cases. Our compassionate attorneys would be happy to meet with you, hear what you're facing, and create a plan for dividing your digital assets.

To get started, call 817-799-7125 or send us a message to arrange a free initial consultation.