What do you do with your digital assets?
Protecting Digital Assets – Part III
In the first two segments of this three-part series, we delved into the world of Digital Assets, recognizing their inherent value and understanding why they matter. To conclude this series, we'll explore the crucial steps you can take to safeguard your digital assets and ensure their smooth transition to others in case of unforeseen events. Digital family vaults and digital vaults play a significant role in this process.
1. Document Your Digital Assets
The first essential step is to create a comprehensive inventory of your digital assets. After all, you can't protect what you don't know you have.
2. Back Up Your Data
The age-old advice of making regular backups holds true in the digital world. Make not just one, but multiple backups. Store one at home for easy access, and another at your workplace as a precaution, and if you're really serious about safeguarding your cherished digital memories, consider sending a copy to a trusted individual residing in a different location.
For instance, I, living in Minneapolis, frequently travel to Atlanta and keep a backup of my digital files in a secure deposit box in an Atlanta bank. For those who prefer a simpler approach, utilizing cloud-based storage services like OneDrive or Dropbox is better than having no backups at all, although there are security and ownership transfer issues to consider.
3. Encrypt Your Hard Drive
To maintain your privacy and prevent unauthorized access to your digital assets, it's wise to encrypt your entire hard drive. This ensures that your assets remain inaccessible without your knowledge or permission.
4. Managing Website Usernames and Passwords
This is a challenging aspect of protecting your digital assets. While various websites offer password management services, questions about their security and the fate of your data in case something happens to you can arise. My personal approach is to compile all my usernames and passwords into a single file, encrypting it with a passphrase known only to myself and my fiancé. In the event of unforeseen circumstances, she can access all my digital assets.
However, a legal quandary emerges here. Is it permissible for someone other than yourself to access your digital assets? James D. Lamm, an attorney specializing in digital asset law, points out that the U.S. Department of Justice suggests that a person can be charged with a crime for violating a website's terms of service under 18 U.S.C § 1020(a)(2).
This means that even with your consent, it could be a federal offense for someone to access your Facebook account, as Facebook's Terms of Service explicitly state that you should not share your password or allow anyone else to access your account.
While we won't resolve the legal complexities surrounding digital asset access and ownership in this article, it's advisable to maintain an inventory of your digital assets, encrypt it for privacy, and provide instructions on how to access this list in your will or with a trusted friend or family member.
As I sought an elegant solution to protect my digital information and establish a secure process for someone to access my assets if anything happened to me, I found a gap in services. This need inspired the creation of a new company called SecretValet, specializing in digital family vaults and digital vaults.
By actively managing your digital assets, safeguarding them against loss or misuse, and ensuring their seamless transfer to others in times of need, you are taking control of your property. This ensures that you can enjoy your digital assets, dictate their use, and secure their value for your loved ones in case of your absence or incapacity.
Ultimately, isn't that what we all desire for the treasures we've amassed over the years?
