Cryptocurrencies and digital assets: issues and challenges from the inheritance law perspective

• Main Authors: Zul Kepli, Mohd Yazid, Ahmad Bustami, Tajul Aris
• Format: Conference or Workshop Item
• Language: English
• Published: Fakulti Undang-undang UKM 2021
• Subjects: K Law (General)
• Online Access: http://irep.iium.edu.my/98103/1/98103_Cryptocurrencies%20and%20digital%20assets%20issues.pdf; http://irep.iium.edu.my/98103/
• Institution: Universiti Islam Antarabangsa Malaysia

Cryptocurrency is a new asset class that estate planning lawyers are seeing more in their clients' portfolios as digital assets including Bitcoin, Ethereum, XRP, Bitcoin Cash and Litecoin gain more popularity worldwide. The fast adoption of digital assets into the financial portfolio of Malaysians, the majority of whom are Muslims, requires an analysis of its future implications to wealth and estate management, including after death. This study reveals issues and challenges related to cryptocurrencies and digital assets from the inheritance law perspective in Malaysia. As Malaysia is a commonwealth country with a Muslim-majority population, in addition to English common law, the Islamic inheritance law perspective is included. This study explores related challenges including illegal platforms and operators, unauthorized access, hacking, and other real problems like difficulty in identifying deceased’s cryptocurrency account and missing passwords. Results suggest that the current legal, shariah and regulatory framework is not adequate to properly protect the interest of the public and some suggestions and recommendations are included.