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Cryptocurrencies are digital assets that present unique challenges for fiduciaries. Here, we provide a practical, question-and-answer guide exploring the investment and distribution of cryptocurrency by executors1 and trustees.
Investing in Cryptocurrency
What basic principles applicable to the investment of property held in a fiduciary capacity can present problems for fiduciaries holding cryptocurrency? Trustees have the general duty to invest and manage trust assets as a prudent investor would, in light of the purposes, terms, distribution requirements and other circumstances of the trust.2 Executors may have identical3 or similar duties under applicable law, which can depend on the length of time property is expected to be held prior t...
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