International Journal For Multidisciplinary Research

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Volume 8 Issue 3
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Digital Assets in Divorce Proceedings: Emerging Challenges in Indian Family Law

Author(s) Ms. Parvathi B, Ms. Gauthami M Shobi
Country India
Abstract The exponential growth of digital assets — encompassing cryptocurrencies, non-fungible tokens (NFTs), virtual gaming assets, and online business interests — has introduced a paradigm shift in the adjudication of matrimonial property disputes in India. Indian family law, rooted in personal laws such as the Hindu Marriage Act, 1955, the Special Marriage Act, 1954, and the Indian Divorce Act, 1869, does not expressly account for virtual digital assets as a category of marital property. This legislative lacuna has resulted in significant uncertainty when courts are called upon to identify, value, and equitably divide digital wealth in divorce proceedings. The landmark ruling in Rhitukumari v. Zanmai Labs Pvt. Ltd. (Madras High Court, 2025), which declared cryptocurrency as 'property' under Indian law by invoking Section 2(47A) of the Income Tax Act, 1961, offers the most definitive judicial guidance to date but remains insufficient to fill the comprehensive regulatory void. This article examines the conceptual classification of digital assets, the inadequacies of existing statutory frameworks, the challenges of disclosure and forensic tracing, valuation difficulties arising from price volatility, jurisdictional complexities, and the implications for alimony and maintenance calculations. Drawing on comparative international jurisprudence and Indian constitutional principles, the article proposes a set of legislative and procedural reforms necessary to ensure equitable outcomes in matrimonial disputes involving digital assets in the Indian context.
Keywords Digital Assets, Virtual Digital Assets, Cryptocurrency, Divorce, Indian Family Law, Hindu Marriage Act, NFT, Matrimonial Property, Blockchain Forensics, Alimony
Field Sociology > Administration / Law / Management
Published In Volume 8, Issue 3, May-June 2026
Published On 2026-05-25
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E-ISSN 2582-2160
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