Including Digital Assets in a Will

Digital assets have become an increasingly significant part of personal and financial life. As technology evolves and people hold more of their value and memories in digital form, it is important to consider how these assets will be handled when someone dies. Without clear planning, executors may struggle to access and administer digital property, leading to loss, delays, or disputes in estate administration. This guide explains what digital assets are, how they can be included in a will, the legal and practical issues involved, and steps you can take to protect your digital legacy in England and Wales.

What Are Digital Assets?

There is no single legal definition in English law for “digital assets”, but the term commonly refers to online accounts, digital property, and information that you control or own online. Digital assets may take many forms, including:

• Financial digital assets such as cryptocurrency, online investment accounts, digital wallets and payment accounts (e.g. PayPal).
• Sentimental or personal media such as photos, videos and email accounts.
• Online profiles and accounts including social media, blogs, domain names and websites.
• Other digital content such as NFTs or digital collections that may have value.

Recent UK legislation (the Property (Digital Assets etc.) Act 2025) has formally recognised many digital assets - such as cryptocurrencies - as personal property that can be owned, transferred, inherited, or left in a will. This provides a more solid legal basis for including them in estate planning.

Why Include Digital Assets in Your Will?

Digital assets will continue to exist after death and form part of a person's estate. Unless explicitly addressed in your will, executors may not know they exist, be unaware of how to access them, or lack legal authority to manage them.

Failure to plan can mean:

• Cryptocurrency or other financial digital assets remain inaccessible and effectively lost.
• Accounts that should be closed or memorialised remain active, risking misuse.
• Personal memories such as photos or emails may never be recovered.

Including digital assets in your estate plan provides clarity for executors and ensures your wishes regarding ownership, transfer or closure are clearly expressed.

Legal Authority to Handle Digital Assets

Executors generally derive authority to deal with assets from the will and from law. However, access to many digital platforms is governed by terms of service agreements rather than traditional property law, and those platforms may restrict what can be done with accounts after death. Therefore, it is not enough to list digital accounts; the will should also give executors explicit legal authority to manage digital property on your behalf.

It is important not to include sensitive security information such as passwords, PINs, private keys or seed phrases directly in your will. Wills become public records after probate and could expose sensitive information to third parties. Instead, access information should be stored securely elsewhere and cross‑referenced in a separate, protected document.

Practical Steps to Include Digital Assets in Your Will

1. Create a Digital Asset Inventory

Start by compiling a comprehensive list of your digital assets. For each asset, record:

• The name of the service or account.
• What the asset is (financial, personal or business).
• How it can be accessed (e.g. where login credentials or key recovery information is stored).
• Approximate value (especially for taxable assets like cryptocurrency).

This inventory should be kept in a secure location and not directly within the will. You can store it in a secure password manager, encrypted digital vault, or a sealed instruction for your executor.

2. Appoint a Digital Executor or Specify Authority

Although the will normally appoints an executor, you may choose to designate a separate digital executor - someone with the technical understanding to manage complex digital assets - or clearly authorise your nominated executor to access and manage digital property. This authorisation should be written into the will.

3. Draft Clear Will Instructions

Your will can include a specific digital assets clause that:

• Identifies the types of digital assets you hold.
• Grants legal authority to executors to access, manage or dispose of them.
• Refers to your separate inventory and secure storage location for access details.
• Provides instructions for the treatment of digital accounts (e.g. whether social media profiles should be memorialised or deleted).

Avoid placing passwords, private keys or other sensitive credentials in the will itself. Instead, reference a separate schedule or document that the executor can consult.

4. Secure and Communicate Access Details

Store access instructions or reference to your password manager securely and ensure executors know how to retrieve it when needed. Many people use encrypted digital vaults or password management services and provide their executor with a single‑use access method or clear instructions on how to unlock it. Do not store sensitive login information in the will or any document that will become public.

Special Considerations

Cryptocurrency and Blockchain Assets

Cryptocurrencies require careful planning because they are held via private keys or seed phrases. If these are not accessible after death, the holdings may become permanently unrecoverable. Executors should be informed where hardware wallets are kept, how the keys are stored, and how transfers should be managed. Because cryptocurrency can fluctuate in value, valuation may be needed for Inheritance Tax purposes.

Platform‑Specific Legacy Tools

Some online services, such as social media platforms and email providers, offer legacy or account‑handover settings. For example, legacy contacts or inactivity triggers can be set up where available. These settings work alongside the will and can facilitate smoother transitions. These should not replace will instructions but can complement them.

Distinguishing Digital Property from Licences

Not all digital content is automatically inheritable. Many services offer licences to use content rather than actual ownership of intangible products like e‑books or streaming subscriptions. Your will can articulate your intentions, but platform terms may restrict transferability. Executors must review the terms of each service to understand rights and limitations.

Managing Risks and Legal Compliance

Including digital assets in a will raises legal and security concerns that demand careful handling:

• Public nature of wills: Because wills become public after probate, do not include sensitive access details within the document itself.
• Criminal and data protection laws: Executors must avoid actions that could breach statutory provisions such as the Computer Misuse Act 1990 or the Data Protection Act 2018 when accessing accounts on behalf of the estate. Wills should grant clear legal authority to minimise risk.
• Valuation and tax: Digital assets that form part of your estate must be valued on the date of death for tax purposes. Executors and tax advisers should understand how to handle assets such as cryptocurrency in estate accounts.

Common Questions About Digital Assets in Wills

Do Digital Assets Automatically Pass Through a Will?

Yes - digital assets are treated as part of your estate if they have value or ownership rights, but unless they are explicitly mentioned and authorised in the will, executors may not have legal authority to access or dispose of them. Modern legislation now clarifies that certain digital assets are recognised as property for inheritance purposes.

Should I Put Passwords in My Will?

No. Passwords, seed phrases and sensitive credentials should never be included in the will because it becomes a public document after probate. Instead, store them in a separate secure location and reference the location in your will.

What Happens If I Don't Include Digital Assets?

If you do not address digital assets, they will be treated as part of the residuary estate under your will or, if there is no will, under the intestacy rules. This may lead to ambiguity about access and distribution, and valuable or sentimental assets may be lost or inaccessible.

Key Takeaways

Digital assets - from cryptocurrency and online accounts to cloud‑stored memories and domain names - are increasingly important components of modern estates. Including these assets in your will requires careful planning:

• Compile a secure digital asset inventory.
• Include a specific digital assets clause granting executors authority.
• Appoint an executor or digital executor with the appropriate skills.
• Avoid storing sensitive credentials in the will; use secure storage instead.
• Consider platform‑specific legacy tools and the terms of service.
• Be aware of tax, access, and legal compliance issues.

Taking these steps ensures that your digital legacy is managed in line with your wishes and reduces the practical challenges and legal risks executors may face in administering your estate.