Where are cryptoassets “located”? Situs, control and recent legal developments
James Brockhurst contributed to the latest edition of Private Client Business, with an article considering one of the more challenging questions in private international law: where, legally, a cryptoasset is “located”.
Cryptoassets do not sit comfortably within traditional categories of property. Now recognised as a distinct, third category, they require a more nuanced approach when determining situs, a concept that remains central to questions of jurisdiction, taxation and succession.
The developing position is that, in a proprietary context, situs is best understood by reference to control, namely the location of the person who holds or exercises control over the relevant private key.
Why it matters
For private client and tax practitioners, the situs of cryptoassets continues to carry real-world implications. Although the law is still evolving, the emphasis on control reflects a growing consensus as to how these assets should be analysed.
How we can help
Navigating the legal and tax treatment of cryptoassets requires a clear understanding of both private international law and the practical realities of control and enforcement. James Brockhurst advises clients on complex cross-border issues affecting digital assets, including disputes, structuring and succession planning, and would be pleased to discuss how these evolving principles may apply in practice.
‘The Situs of Cryptoassets Under Private International Law’ published in Issue 2 2026 of Private Client Business (available in print, on Westlaw UK, and as a ProView eBook).
