According to the Financial Times, a growing number of high-net-worth individuals who built wealth via Bitcoin and other crypto assets are being rejected by traditional trust firms when trying to set up offshore trusts for tax and succession planning. Trust providers are mainly concerned about unverifiable fund origins, potential money-laundering risks, extreme asset price volatility and fiduciary liabilities such as lost private keys. The report states that some trusts dedicated to digital asset clients are accepting such business through on-chain analytics and enhanced compliance reviews. Nevertheless, most mainstream trustees remain cautious, fearing legal and reputational liabilities stemming from questionable crypto asset provenance or sharp value depreciation.
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