Crypto Insight 2022

EDITOR’S COMMENT

The global cryptocurrency market size was valued at US$1.49 billion
in 2020 and is projected to reach US$4.94 billion by 2030. Developing
countries have started using digital currency as a financial exchange
medium and the increasing popularity of digital assets such as Bitcoin
(despite the recent selling pressures) and NFTs is likely to further drive
market growth.

However, with the growth of digital assets comes a parallel growth in fraud.
Some US$8.6 billion in cryptoassets is estimated to have been laundered
in 2021 alone and it is likely that financial crimes will accelerate in direct
proportion to the use of cryptocurrency.

As a result, cryptocurrency disputes are on the rise. Although few countries
have a regulatory framework in place to protect such assets, many
jurisdictions, including the UK and the US, regard crypto assets as property
which has led to a number of complex legal challenges.

In this special Insight, we examine the various areas of disputes where
crypto is involved, including fraud and asset recovery; HNW divorce;
Private Client services; and dispute resolution. The good news is that while
crypto fraud is on the increase, so too are the systems developed to trace
these formerly untraceable assets.