Posted on: 23rd April 2025

Estate Planning in the Digital Age

In a world where so much of our life is online, it’s no surprise that estate planning has gone digital too. From cryptocurrency to cloud storage, our digital footprints are growing—and they need to be accounted for when we plan for the future.

As a financial service provider based in Saudi Arabia, we’ve seen how important it is for clients to understand how their digital assets fit into their broader estate plans, especially in the context of Sharia law.

In this article, we’ll walk you through what digital estate planning involves and how you can take practical steps to protect your online legacy.

What Are Digital Assets?

Digital assets are anything you own or control online that holds value—either financially, emotionally, or personally. This can include:

• Online bank accounts and investment platforms

• Cryptocurrencies like Bitcoin or Ethereum

• Email and social media accounts

• Cloud storage with important documents or family photos

• Domain names, blogs, or digital content you’ve created

While some of these may not seem valuable at first glance, think about the financial impact of losing access to them—or worse, leaving them unmanaged after your death.

The Challenges of Digital Estate Planning

Managing digital assets can be trickier than traditional ones. Here’s why:

• Access issues : Passwords, two-factor authentication, and encryption can prevent loved ones from retrieving your data.

• Lack of awareness : Your heirs may not even know what digital assets you have unless you’ve kept a detailed list.

• Terms of service : Companies like Google, Apple, and Facebook have strict rules about who can access your account after death.

• Legal grey areas : In Saudi Arabia and many other countries, laws haven’t fully caught up with the digital world, leaving room for confusion and disputes.

This makes it essential to have a plan in place—just like you would for your property , bank accounts, and other physical assets.

How to Create a Digital Estate Plan

Planning for your digital assets might seem overwhelming, but breaking it down into simple steps makes the process much easier.

Think of it as creating a roadmap for your loved ones, so they’re not left guessing or struggling to access important information.

1. Make an Inventory of Your Digital Assets

Start by listing everything you own digitally.

That includes financial accounts, cryptocurrencies, social media profiles, email addresses, online subscriptions, and any digital content you've created.

Don’t forget to note where these assets are stored and how they can be accessed (though avoid putting passwords directly in your will).

2. Appoint a Digital Executor

Just as you would appoint someone to manage your estate, you should also choose someone to handle your digital assets.

This should be someone you trust, who understands technology and is willing to carry out your wishes. Be sure to give them clear, legal authority—preferably documented in your will.

3. Include Digital Assets in Your Legal Documents

While Sharia law governs inheritance in Saudi Arabia, you are permitted to make a wasiyya (bequest) of up to one-third of your estate to a non-heir.

This is an ideal way to include digital assets that you want to pass on to friends, colleagues, or charitable causes. It’s also wise to work with a lawyer who understands both Islamic law and estate planning to ensure everything is valid and compliant.

4. Secure Your Access Information

Store your login details, recovery codes, and private keys (especially for crypto assets) in a secure, encrypted format.

Options include a password manager, a locked digital vault, or even a physical, fireproof safe. Just make sure someone trustworthy knows how to access it when the time comes.

How Sharia Law Applies to Digital Assets

In Saudi Arabia, estate distribution must follow Islamic principles.

This means specific shares are allocated to family members as prescribed in the Qur’an. However, the one-third wasiyya offers some flexibility for individuals to make personal choices—this is where digital assets can be included.

It’s worth noting that while Islamic jurisprudence acknowledges ownership of digital assets, many legal systems (including ours) are still developing clearer guidelines.

That’s why it’s crucial to seek advice from professionals who understand both Sharia law and the complexities of the digital space.

Tips for Staying Ahead

• Update your digital inventory regularly . New accounts and assets appear all the time, and it’s easy to forget about them.

• Tell someone you trust . Even if you’re not ready to formalise everything, make sure someone knows your intentions and where to find key information.

• Review platform policies . Some services let you set preferences for what happens after your death. For example, Google offers an Inactive Account Manager, and Facebook lets you appoint a legacy contact.

• Get professional help . Don’t try to do it all yourself—especially when Sharia compliance is essential. Talk to your financial adviser and a lawyer experienced in Islamic estate planning.

Looking Ahead: The Future of Digital Legacies

As technology evolves, so too will the way we manage our estates. We’re already seeing tools like blockchain-based wills and smart contracts emerge globally.

In time, we expect to see clearer legal frameworks in Saudi Arabia for managing digital assets, but for now, proactive planning is your best defence.

Final Thoughts

Digital estate planning might sound like a modern concern, but it’s simply a natural extension of caring for what you leave behind.

By taking simple steps today—like listing your assets, securing your access details, and getting the right advice—you can protect your digital legacy for the people who matter most.

If you’d like help navigating your estate plan in the digital age, especially within a Sharia-compliant framework, our team is here to support you.