Ukraine's Cryptocurrency Inheritance Conundrum
In Ukraine, inheritance of cryptocurrency poses a unique challenge due to its decentralized nature. When an owner of virtual assets passes away, their relatives may struggle to access and inherit these intangible assets.
The Ukrainian Civil Code states that all rights and obligations belonging to the deceased pass to the inheritance, but this does not necessarily mean access to the cryptocurrency itself. The private key or seed phrase is required for control over non-custodial wallets, which are a common way of storing cryptocurrencies like Bitcoin (BTC) and Tether USDt.
Even if an heir has a certificate of inheritance rights, they may not be able to sign transactions and move the asset without access to the private key or seed phrase. In contrast, assets stored on centralized exchanges can be transferred through the exchange's procedures, provided that ownership is verified.