When Divorce Goes Digital
A decade ago, dividing assets in divorce meant splitting houses, cars, and retirement funds. Today, things look different. Couples are no longer only arguing over who gets the family home — they’re debating who keeps the Netflix password, the Bitcoin wallet, or the Instagram business account.
Welcome to the age of digital divorce.
As technology continues to shape every part of our lives, our “digital footprint” has become one of the most valuable — and complex — parts of the marital estate. From online subscriptions to digital investments, the question is simple:
Who gets what when your digital life is shared?
In South Africa, digital assets are treated as property in certain cases, meaning they can form part of the joint estate or accrual calculation during a divorce. But unlike physical possessions, digital assets can be tricky to identify, value, and divide fairly.
This guide explores how South African courts — and lawyers like Shapiro & Haasbroek Inc. — approach the division of digital assets, including cryptocurrency, intellectual property, streaming accounts, and social media profiles.
What Are “Digital Assets” in South African Law?
“Digital assets” refer to anything of monetary or sentimental value that exists in a digital format. While South African law doesn’t yet have a formal legal definition for “digital property,” courts increasingly recognise these assets as part of an individual’s estate.
Examples include:
- Cryptocurrency (Bitcoin, Ethereum, etc.)
- Online bank accounts or PayPal balances
- Domain names and websites
- Digital media libraries (photos, music, or eBooks)
- E-commerce stores or digital business assets
- Gaming accounts or in-game purchases
- Streaming accounts (Netflix, Spotify, Showmax)
- Cloud storage and subscription services
- Social media and influencer profiles
- Digital intellectual property (content, designs, software, etc.)
In short, anything that carries value — financial, creative, or personal — can become a source of dispute in divorce.
Determining What Belongs to Whom
In South Africa, how digital assets are divided depends on the marital regime:
In Community of Property:
All assets (including digital ones) are shared equally, unless excluded by a prenuptial agreement.
- Example: If your spouse’s cryptocurrency wallet grew during your marriage, it’s likely part of the joint estate.
Out of Community of Property with Accrual:
Only assets accumulated during the marriage are shared proportionally.
- Example: If you built a successful e-commerce site during marriage, its value counts toward your accrual.
Out of Community of Property (without Accrual):
Each party retains their individual assets.
- Example: A digital business owned before marriage stays with its original owner, unless otherwise agreed.
But even when ownership is clear, access can complicate things. Shared accounts, online subscriptions, and digital tools often blur the lines between personal and marital use.
Cryptocurrency: The Hidden Asset of Modern Divorce
Cryptocurrency is one of the biggest digital challenges in modern divorces.
Unlike a bank account, crypto doesn’t have a central authority. It’s stored on digital wallets protected by private keys — meaning one partner could theoretically hide assets by simply not disclosing wallet details.
How the Law Views Crypto in Divorce
The South African Revenue Service (SARS) recognises cryptocurrency as an asset for tax purposes, not as currency. That means it can (and should) be included in divorce settlements.
Courts treat crypto like any other investment. But tracing and valuing it can be difficult, especially when one party claims they’ve “lost” access or value.
Pro Tip: Digital forensics experts can help trace transactions on blockchain networks, ensuring fairness in division.
If you suspect hidden digital wealth — whether in crypto or other online accounts — your lawyer can request financial disclosures under oath. Failure to disclose is a serious offence and can impact settlement outcomes.
Who Gets the Netflix Account? (And Other Digital Subscriptions)
Here’s where things get personal.
In many South African households, couples share subscriptions to Netflix, Spotify, Showmax, DSTV Stream, and more. But once separation happens — who keeps them?
Technically, streaming accounts are licensed to one subscriber, not both. This means:
- If the account is registered under your name, you own it.
- If your partner paid for it but you used it, it’s not automatically yours.
- Most services forbid “transferring ownership” of an account.
So, while dividing crypto requires lawyers, dividing a Netflix account often requires conversation and compromise.
Some couples choose to:
- Split the monthly cost until new accounts are created, or
- Cancel all joint subscriptions to start fresh.
It may sound trivial — but emotionally, these small digital ties can be the hardest to cut.
Social Media & Digital Memories
Social media platforms like Facebook, Instagram, and TikTok raise another complex question:
Who owns your digital memories — the photos, posts, and family albums built over years together?
Legally, each individual owns their personal data and intellectual property. But shared content (like family photos or co-created posts) can lead to disputes over privacy and usage rights.
To prevent conflict, it’s wise to:
- Download and back up personal photos separately.
- Agree on boundaries for deleting or tagging shared content.
- Avoid airing grievances publicly — courts frown upon “digital defamation.”
Shapiro & Haasbroek often reminds clients:
“Your social media is part of your legal footprint. What you share can influence custody and settlement outcomes.”
Intellectual Property & Digital Businesses
With so many South Africans building side hustles online — from YouTube channels to Shopify stores — digital businesses have real financial value.
If your online business generates income, it’s treated as part of your estate. That includes:
- Ad revenue (YouTube, TikTok, or blogging)
- Affiliate marketing earnings
- E-commerce profits
- Domain names and brand assets
Example:
If a spouse designs and sells products via an Etsy store or earns money from influencer collaborations, that digital income forms part of the accrual or joint estate.
Valuation can involve accountants and brand specialists, particularly if the digital brand has a loyal following or growing revenue.
Cloud Storage, Passwords & Digital Access
In the digital era, forgetting who owns which password can be just as stressful as dividing property.
To simplify matters:
- Each party should back up their data before accounts are closed or shared access ends.
- Avoid deleting files in anger — it can be considered destruction of property.
- Lawyers may include digital access clauses in settlement agreements.
Tip: Use password managers or encrypted backups for sensitive data.
Local Perspective: Digital Divorce in Gauteng
In Gauteng, where tech adoption is high, digital assets are becoming increasingly central to divorce proceedings.
Law firms across Pretoria, Johannesburg, and Centurion now routinely include digital asset declarations in their settlement discussions.
As hybrid work, online banking, and digital investments grow, so does the need for clarity in how they’re handled legally.
At Shapiro & Haasbroek Inc., our family law team in Gauteng has seen cases involving:
- Bitcoin and NFT disputes
- Shared business software accounts
- Online client databases
- Joint website ownership
By applying existing family and property law frameworks, we ensure each digital asset is accounted for — even those hidden behind passwords or platforms.
Common Mistakes People Make
Forgetting Digital Assets Exist
Many clients focus only on physical assets. Digital assets often go unclaimed — until too late.
Deleting Shared Accounts Prematurely
Closing joint accounts before legal agreements are finalised can lead to data loss or legal disputes.
Ignoring Tax Implications
Cryptocurrency and online income must be disclosed for SARS reporting. Non-disclosure can trigger penalties.
Overlooking Digital Intellectual Property
Designs, blogs, or online portfolios hold value and should be treated as assets.
Not Updating Wills or Contracts
Digital assets must also be updated in wills and post-divorce estate planning to avoid future conflict.
How Other Countries Handle It
In the U.S. and UK, courts have begun explicitly classifying digital assets as property. South Africa is following that trend — especially as crypto and AI-driven businesses expand.
Expect to see future legislation formally recognising digital inheritance and digital divorce rights.
Until then, legal guidance remains essential.
Protecting Your Digital Life During Divorce
Whether you’re separating amicably or preparing for litigation, here’s how to protect yourself:
- List All Digital Assets – Include everything from crypto wallets to streaming accounts.
- Secure Access – Change passwords on personal accounts to prevent misuse.
- Avoid Public Sharing – Never post about ongoing legal issues online.
- Consult a Lawyer Early – Especially when digital investments are significant.
- Plan for the Future – Update wills, passwords, and cloud storage access.
At Shapiro & Haasbroek, we help clients protect both their financial and digital futures with empathy, precision, and confidentiality.
Moving Forward
In today’s world, divorce isn’t just about dividing homes — it’s about dividing digital lives.
As South Africans become increasingly connected, understanding how digital assets are treated in divorce is no longer optional — it’s essential.
If you’re navigating a separation that involves crypto, online businesses, or shared digital accounts, expert legal advice can make all the difference.
Contact Shapiro & Haasbroek Inc. today for professional guidance on digital property, family law, and divorce settlements in Gauteng and beyond.
Visit www.shapirohaasbroek.co.za
