--- title: Cryptocurrency, Cybersecurity, Data Privacy, and Blockchain in the Law description: This post will examine some of the cyber and data issues to look out for and the areas Goosmann’s transactions and IP teams are prepared to deal with. image: https://blog.goosmannlaw.com/hubfs/cell%20phone%20w%20digital%20layer.jpg --- [![Goosman Lawfirm](https://blog.goosmannlaw.com/hs-fs/hubfs/Goosmannlaw%20October2017/images/Goosmann_Law_Firm_logo_4C-white.png?width=1250&name=Goosmann_Law_Firm_logo_4C-white.png "Goosman Lawfirm")](http://goosmannlaw.com/) - [COVID-19 Toolbox](https://goosmannlaw.com/covid-19-resource-toolbox/) - Our Team - [Attorneys](https://goosmannlaw.com/attorneys/) - [Non-Attorney Staff](https://http://goosmannlaw.com/non-attorney-staff/) - Practices & Industries - [Practices](https://goosmannlaw.com/practices/) - [Banking & Finance](https://goosmannlaw.com/banking-finance/) - [Bankruptcy, Restructuring & Workouts](https://goosmannlaw.com/bankruptcy-restructuring-workouts/) - [Business](https://goosmannlaw.com/business/) - [Divorce & Family Law](https://goosmannlaw.com/divorce-family-law/) - [Employment](https://goosmannlaw.com/employment-law/) - [Environmental, Health & Safety](https://goosmannlaw.com/health-safety/) - [Estate Planning](https://trustlawcounsel.com) - [Gestational Surrogacy & Adoption](https://goosmannlaw.com/gestational-surrogacy-adoption/) - [International Law](http://goosmannlaw.com/international-law/) - [Litigation / Trial Law](https://goosmannlaw.com/litigation-trial-law/) - [Local Counsel](https://http://goosmannlaw.com/local-counsel/) - [Mergers & Acquisitions](https://goosmannlaw.com/mergers-acquisitions/) - [Rapid Response](https://goosmannlaw.com/rapid-response/) - [Industries](https://goosmannlaw.com/industries/) - [Agribusiness & Cooperatives](https://goosmannlaw.com/agribusiness-cooperatives/) - [Construction](https://goosmannlaw.com/construction/) - [Cyber Law and Telecommunications](https://goosmannlaw.com/cyber-law/) - [Education](https://goosmannlaw.com/education/) - [Health Care](https://goosmannlaw.com/health-care/) - [Manufacturing](https://goosmannlaw.com/manufacturing-law/) - [Multifamily Housing](https://goosmannlaw.com/multifamily-housing-law/) - [Non-Profit & Tax Exempt Organizations](https://goosmannlaw.com/non-profit-law/) - [Real Estate](https://goosmannlaw.com/real-estate/) - [Transportation](https://goosmannlaw.com/transportation/) - [Tribal](https://goosmannlaw.com/tribal/) - Our Firm - [Firm News](https://blog.goosmannlaw.com/firm-news) - Careers - [Attorneys](https://goosmannlaw.com/careers/attorneys/) - [Administration](https://goosmannlaw.com/careers/administration/) - [Internships](https://goosmannlaw.com/careers/internships/) - [Client Testimonials and Results](https://goosmannlaw.com/our-firm/client-testimonials-and-results/) - [Culture, Diversity, and Community](https://http://goosmannlaw.com/our-firm/culture-diversity-and-community/) - [Women-Owned Business](https://goosmannlaw.com/our-firm/women-owned-business/) - [Associations & Memberships](https://goosmannlaw.com/associations-memberships/) - [Firm History](https://goosmannlaw.com/firm-history/) - Blogs - [CEO Law Review](https://blog.goosmannlaw.com/ceo-on-your-side) - [Construction Lawyer](https://blog.goosmannlaw.com/construction-lawyer-on-your-side) - [Cyber Lawyer](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side) - [Deal Maker](https://blog.goosmannlaw.com/deal-maker-on-your-side) - [Divorce Docket](https://blog.goosmannlaw.com/divorce-lawyer-on-your-side) - [Food for Thought](https://blog.goosmannlaw.com/agricultural-lawyer-on-your-side) - [HR Legal Insider](https://blog.goosmannlaw.com/human-resources-on-your-side) - [Law Doc](https://blog.goosmannlaw.com/health-lawyer-on-your-side) - [Paralegal Review](https://blog.goosmannlaw.com/paralegal-review/) - [Real Estate Lawyer](https://blog.goosmannlaw.com/real-estate-lawyer-on-your-side) - [Risky Business](https://blog.goosmannlaw.com/risk-manager-on-your-side) - [The Banker’s Suit](https://blog.goosmannlaw.com/banking-lawyer-on-you-side) - [Trial Law Review](https://blog.goosmannlaw.com/trial-lawyer-on-you-side) - [Trust Law Counsel](https://blog.goosmannlaw.com/estate-planning-laywer-on-your-side) - Resources - [COVID-19 Resource Toolbox](https://goosmannlaw.com/covid-19-resource-toolbox/) - [Podcast](http://podcast.goosmannlaw.com/) - [Videos](https://goosmannlaw.com/videos/) - [FREE eBooks & Tools](https://goosmannlaw.com/free-ebooks-tools/) - Contact Us - [Office Locations](https://goosmannlaw.com/locations/) - [Sioux City Law Firm](https://goosmannlaw.com/locations/sioux-city-law-firm/) - [Sioux Falls Law Firm](https://goosmannlaw.com/locations/sioux-falls-law-firm/) - [Omaha Law Firm](https://goosmannlaw.com/locations/omaha-law-firm/) - [Spirit Lake & Spencer Law Firms](https://goosmannlaw.com/locations/spirit-lake-and-spencer-law-firm/) - [Real Estate Closings Office](https://goosmannlaw.com/locations/real-estate-closing-office/) - [Submit a Testimonial](https://goosmannlaw.com/submit-a-testimonial/) - [Sign Up for Our Newsletter](https://goosmannlaw.com/sign-up-for-our-newsletter/) - [Pay Online](https://goosmannlaw.com/pay-online-3/) - [  (855) 843-4531](tel:855-843-4531) ![](https://blog.goosmannlaw.com/hubfs/Blog_Images/Lockbox%20Lawyer/close-button.png) [tel:855-THE-GLF1](tel:855-THE-GLF1) [Cyber Law Trends](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cyber-law-trends) [cybersecurity](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cybersecurity) # [Cryptocurrency, Cybersecurity, Data Privacy, and Blockchain in the Law](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/cryptocurrency-cybersecurity-data-privacy-and-blockchain-in-the-law) By [Goosmann Law Team](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/author/goosmann-law-team)   |  19, February 2021 [READ NOW](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/cryptocurrency-cybersecurity-data-privacy-and-blockchain-in-the-law) [Read Post](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/cryptocurrency-cybersecurity-data-privacy-and-blockchain-in-the-law#article) [![](https://blog.goosmannlaw.com/hs-fs/hubfs/Logos/Logo1.jpg?width=60&name=Logo1.jpg)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/author/goosmann-law-team) [Goosmann Law Team](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/author/goosmann-law-team)  Tags: [Cyber Law Trends](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cyber-law-trends) [cybersecurity](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cybersecurity) Lately, cryptocurrency has been in the news as its shares have shot upward. Large banks such as Goldman Sachs, JP Morgan, and Deutsche Bank have announced they will accept Bitcoin. As cryptocurrency becomes more mainstream, legal issues are bound to arise. This post will examine some of the issues to look out for and some of the areas Goosmann’s transactions and IP teams are prepared to deal with clients’ crypto assets in terms of mergers and acquisitions, investments in start-ups, high net worth individuals’ (“HNWI”) money management, and estate planning. All of these areas of the law intersect with the need to protect data and to take into account clients’, individuals and corporate and start-up business clients’, cybersecurity. Bitcoin uses blockchain technology to protect financial data. It is a currency and method for transacting business our transactions team is seeing more frequently used by start-ups in the green tech and fintech fields as well as by larger wealth advising firms who work with HNWI clients and investors. Our team has nearly two decades of fintech and cybersecurity experience and is on the cutting edge of cryptocurrency transactions. Goosmann is capable of drafting investment agreements in, and acquisitions of, cryptocurrency and is capable of completing deals that use blockchain technology. We advise start-ups in this space as well as wealth management firms. Our team is fully capable of advising on the reporting issues required in dealing with cybersecurity and transactions. Relevant laws include the Uniform Prudent Investor Act, the Uniform Prudent Management of Institutional Funds Act, the Federal Computer Fraud and Abuse Act, and the Revised Uniform Fiduciary Access to Digital Assets Act. We have a deep bench of attorneys that understands the complexities of cryptocurrency, cybersecurity, and data privacy in transactions. Lastly, as investors expand their portfolios to include Bitcoin and other cryptocurrencies, they will need to note the IRS’ treatment of cryptocurrency for tax and property purposes as well as the estate planning ramifications of owning such digital assets. While we are not tax advisors, we do advise clients that the IRS treats cryptocurrency as property, and, thus, cryptocurrency can have gains and losses for capital gains purposes, just as real estate can. Secondly, we advise clients who do their estate planning with us to make sure the trust funding process accounts for digital assets such as Bitcoin or other cryptocurrencies. Funding a trust with Bitcoin may be as simple as noting the password and storage device for access to the cryptocurrency accounts. However, should a password or storage device access be noted in a trust, we would comply with all data privacy and terms of use laws governing such technical transactions. Nebraska law regarding cryptocurrency is in flux. State Senator Mike Flood has introduced two bills, in January of this year, on cryptocurrency. One bill would allow banks to “custody” cryptocurrency but for the cryptocurrency not to be treated as an asset or a liability. The bank would serve as a depository. To serve as a custodian, banks would need to provide the Nebraska Director of Banking and Finance with 60 days’ notice. The Transactions of Digital Assets Act would delineate transactions requirements for smart contracts, passwords, and private keys. The U.S. federal Office of the Comptroller of Currency has already issued a notice allowing banks to serve as custodial depositories of cryptocurrency. Cybersecurity and data privacy laws, federal and state, and anti-money laundering statutes would apply. Senator Mike Flood aims to make Nebraska a financial technology hub with these bills, according to the Norfolk Daily News. Goosmann will stay abreast of the most recent Nebraska legislative developments. Goosmann is knowledgeable and prepared to assist with any transactions or cybersecurity/data privacy issues for start-ups, HNWIs, wealth managers, or corporations, and we are on the forefront of this area of the law as it continues to rapidly develop in this changing world. ### Select Different CTA for each Post from Blog Editor [![New Call-to-action](https://no-cache.hubspot.com/cta/default/489404/a8cefc17-3b9d-4de0-89cd-e60a64752422.png)](https://cta-redirect.hubspot.com/cta/redirect/489404/a8cefc17-3b9d-4de0-89cd-e60a64752422) ### Subscribe Our Blog Thanks for submission!! - Recent - Popular ### Posts by Topic - [Cyber Law (43)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cyber-law) - [cyber (7)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cyber) - [cybersecurity (5)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cybersecurity) - [Business News and Insights (4)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/business-news-and-insights) - [Cyber Law Trends (3)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cyber-law-trends) - [Firm News (3)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/firm-news) - [Media Law and Technology & Science (3)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/media-law-and-technology-science) - [CEO (2)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/ceo) - [Communications Law (2)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/communications-law) - [Cyber scams (2)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cyber-scams) - [EMV Credit Cards (2)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/emv-credit-cards) - [HR Legal Insider (2)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/hr-legal-insider) - [CFAA (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cfaa) - [Communications Decency Act (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/communications-decency-act) - [Cyber Legacy (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/cyber-legacy) - [DNA (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/dna) - [Employee Recruiting (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/employee-recruiting) - [Employment News and Insights (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/employment-news-and-insights) - [IRS (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/irs) - [IRS scam (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/irs-scam) - [IRS scam Sioux City (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/irs-scam-sioux-city) - [Identity Theft (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/identity-theft) - [Ransomware (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/ransomware) - [Sioux City IRS scam (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/sioux-city-irs-scam) - [South Dakota (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/south-dakota) - [data breach (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/data-breach) - [scam (1)](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/topic/scam) DISCLAIMER: The information in this blog post (“post”) is provided for general informational purposes only, and may not reflect the current law in your jurisdiction. By visiting this website, blog, or post you understand that there is no attorney client relationship between you and the Goosmann Law Firm attorneys and website publisher. No information contained in this post should be construed as legal advice from Goosmann Law Firm, PLC, or the individual author, nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this post should act or refrain from acting on the basis of any information included in, or accessible through, this Post without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from a lawyer licensed in the recipient’s state, country or other appropriate licensing jurisdiction. #### Let Us Know What You Thought about this Post. Put your Comment Below. [Previous Post](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/entangling-web-could-your-website-be-a-lawsuit-waiting-to-happen) ##### [Entangling Web: Could Your Website Be a Lawsuit Waiting to Happen](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/entangling-web-could-your-website-be-a-lawsuit-waiting-to-happen) [Next Post](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/best-practices-data-breach-detection-and-response) ##### [Best Practices: Data Breach Detection and Response](https://blog.goosmannlaw.com/cyber-lawyer-on-your-side/best-practices-data-breach-detection-and-response) ### Contact Info **Sioux City Location** P. 712-226-4000 F. (712) 224-4517 **Sioux Falls Location** P. (605) 371-2000 F. (605) 275-2039 **Omaha Location** P. (402) 280-7648 F. (402) 505-3967 --- [Disclaimer](http://goosmannlaw.com/list-all-blogs/disclaimer/) | [Privacy Policy](http://goosmannlaw.com/privacy-policy/) ### Locations **Sioux City Location** 410 5th Street Sioux City, IA 51101 **Sioux Falls Location** 5010 S. Minnesota Avenue, Suite 100 Sioux Falls, SD 57108 **Omaha Location** Advent Building 17838 Burke Street, Suite 250 Omaha, NE 68118 ![Goosmann](https://blog.goosmannlaw.com/hs-fs/hubfs/Blog_Images/Lockbox%20Lawyer/goosmann-white.png?width=250&name=goosmann-white.png "Goosmann") Goosmann Law Firm is a FULL SERVICE LAW FIRM with locations in Sioux City, Iowa, Sioux Falls, South Dakota, and Omaha, Nebraska. Goosmann Law attorneys are licensed to practice in Iowa, Nebraska, South Dakota, and North Dakota. Their attorney team's practices and industries include but are not limited to Agribusiness and Cooperatives, Banking and Finance, Bankruptcy, Restructuring and Workouts, Business, Construction, Cyber Law and Telecommunications, Divorce and Family Law, Education, Employment, Environmental Health and Safety, Gestational Surrogacy and Adoption, Health Care, Litigation and Trial Law, Manufacturing, Mergers and Acquisitions, Municipal, Nonprofit and Tax Exempt Organizations, Real Estate, and Transportation, Tribal, Wills, Trusts, Estate Planning, and Probate Law. Goosmann © Copyright 2017