Australians are being warned they could unintentionally leave loved ones locked out of part of their inheritance if they fail to include cryptocurrency in their estate planning.
As more people over 55 diversify their investments and build wealth beyond traditional assets like property, savings and superannuation, a new issue is emerging – how digital assets are passed on.
A crypto expert is now urging Australians to review their Wills and ensure they include clear provisions for digital holdings and how to access them.
Bitcoin.com.au General Manager Nic Roberts said billions of dollars in crypto risks being lost because estate planning is struggling to keep pace with the changing way wealth is being stored.
“People are taking their passwords to the grave, creating a threat to intergenerational wealth,” he says.
“In the digital world, security is vital. But one forgotten password can wipe out a family’s inheritance.”
A growing ownership trend
According to the 2025 Independent Reserve Cryptocurrency Index (IRCI) report, 31% – around 6.2 million – of Australian adults own or have owned cryptocurrency. Bitcoin remains the most popular, held by 70% of those investors.
For older Australians focused on protecting and passing on their wealth, Roberts says the rise in digital assets presents a new planning challenge.
“Digital money needs to be treated like any other part of an estate. Without organising access and leaving the details in a Will, families won’t be able to inherit crypto the way they currently do for houses, savings and super.”
Unlike traditional bank accounts, cryptocurrency ownership is not linked to a person’s name or identity. Instead, access depends on private keys and recovery seed phrases – long, secret codes that function as proof of ownership.
Roberts says this unfamiliar system means many investors and families have never had to think about passwords, encryption and digital security in the context of inheritance.
“It’s a wake-up call for people to update their Wills and make sure their family knows where their wallet and unique digital codes are stored because in crypto, security and inheritance are the same thing.”
Privacy versus practicality
While many investors prioritise keeping financial information private, Roberts warns this can have unintended consequences for families.
“In trying to keep their wealth private, some Australians are unknowingly making it impossible for their families to ever inherit it,” Roberts said.
He says the technical nature of cryptocurrency – combined with a natural reluctance to discuss end-of-life planning – means some investors avoid addressing the issue altogether.
“This avoidance carries far greater consequences in the digital world.”
Many people now use hardware wallets such as Ledger devices, which are small offline tools that store crypto securely and reduce exposure to cyber risk.
“If the recovery details for a hardware wallet aren’t written into an estate plan or clearly communicated to a trusted person, those assets can be lost forever.”
Your crypto estate planning checklist
Experts suggest starting by understanding exactly what digital assets you hold. This means making an inventory of your cryptocurrencies, the wallets they are stored in and where those wallets are held.
It is also important to store access details safely. Recovery seed phrases and passwords should be kept in a secure location rather than relying solely on memory, so trusted people can locate them if needed.
Some investors may also consider naming a digital executor in their Will – someone they trust who has the knowledge and confidence to manage digital accounts.
Reviewing or creating a valid Will is another key step, ensuring that digital property is listed alongside more traditional assets such as property, savings and superannuation.
Finally, having written access instructions can help avoid confusion. Documenting how digital assets can be accessed and where key information is stored may make it significantly easier for families to manage an estate.