Crypto Inheritance for NRIs in Dubai: Wills, Wallets and Two Legal Systems

An Indian professional in Dubai holds crypto on a VARA-licensed exchange, some on an Indian exchange, and more in a hardware wallet at home. His family lives between Dubai and Mumbai. If something happened to him tomorrow, which country’s law would decide who inherits? Could his family even find, let alone access, his crypto?

Crypto inheritance for NRIs in Dubai involves two legal systems and a technology that doesn’t care about either. This guide explains how Indian succession law applies, why a UAE will may also be needed, how exchange nominees work, the private key problem, and what heirs must do to claim crypto in both countries. UAE-law points should be confirmed with UAE counsel.

Is crypto inheritable property?

The starting point is whether crypto is property that passes on death. In India, the Madras High Court held at an interim stage in October 2025 that cryptocurrency is property capable of being owned and held in trust, in a case involving a WazirX user’s holdings. That supports treating crypto as part of a person’s estate, passing under their will or under the applicable personal succession law, such as the Hindu Succession Act, 1956 or the Indian Succession Act, 1925.

In the UAE, crypto held with licensed providers is also treated as an asset in a deceased person’s estate, and how it passes depends on UAE succession rules, which differ for Muslims and non-Muslims and between emirates and free zones such as the DIFC. That’s a question for UAE counsel.

In practice, the biggest problems arise where nobody knows what the deceased held, so an up-to-date inventory is as important as the legal documents. For NRIs, the result is that crypto inheritance can involve both countries: Indian law for assets and heirs in India, UAE law for assets held in the UAE, and practical questions about where each piece of crypto actually sits.

Why NRIs in Dubai often need two wills

Many Indians in Dubai make a will in India for their Indian assets and a separate will in the UAE for their UAE assets. Non-Muslims in the UAE commonly register wills through mechanisms such as the DIFC Courts’ wills service, which allows them to choose how their UAE assets pass, rather than relying on default rules. Registering a UAE will is a UAE-law matter for UAE counsel.

The two wills must be coordinated. A carelessly drafted second will can accidentally revoke the first. Each will should state clearly which assets it covers (for example, assets located in India versus assets located in the UAE), and both should be drafted with the other in mind.

Families split between Dubai and India should also think about guardianship of minor children and who will act as executor in each country, because the person managing crypto inheritance needs both legal authority and technical understanding. Crypto makes that harder, because it isn’t obvious where it’s “located”. A sensible approach is to describe crypto assets by platform and wallet type: for example, holdings on a named VARA-licensed exchange in one will, holdings on a named Indian exchange in the other, and self-custody wallets assigned expressly to one will or the other.

Exchange nominees and what heirs must do

Indian and UAE exchanges increasingly let users add nominees, which makes it easier for the exchange to release assets on death. But a nominee isn’t necessarily the owner. Following the Indian Supreme Court’s reasoning on nominees for shares and securities, a nominee is likely to hold assets for the legal heirs rather than becoming their absolute owner. Succession law decides who ultimately inherits.

To claim crypto from an Indian exchange, heirs usually need the death certificate, proof of identity and relationship, the deceased’s account details, and, where there’s no nominee or there’s a dispute, a succession certificate, probate or letters of administration from an Indian court. Exchanges will also run KYC on claimants. UAE exchanges will have their own requirements, often including UAE court documents.

Heirs dealing with UAE platforms may need UAE court documents or confirmations, and timelines for obtaining them can be long. Starting both the Indian and UAE processes early, in parallel, usually saves months. A death in Dubai also means Dubai documents. Death certificates issued in the UAE generally need attestation before Indian authorities and exchanges will accept them, so heirs should allow time for that process.

The private key problem

No will, court order or nomination can recover crypto held in self-custody if nobody knows the private key or recovery phrase. For NRIs who keep hardware wallets in Dubai homes, this is the biggest practical risk in crypto inheritance.

Good planning separates legal rights from practical access. The will gives the legal right, while a secure access plan gives practical access. Options include storing recovery phrases on durable media in a bank safe deposit box, splitting a phrase so that no single person holds all of it, or using multi-signature wallets that require approval from several people. Wills shouldn’t contain recovery phrases, because wills can become public during probate.

For NRIs in Dubai, it’s sensible to keep the access plan in one country and a sealed copy in the other, so that family members in either Dubai or India can act quickly. Review it whenever you change exchange, wallet or residence. Write a short “digital asset letter”, kept separately, listing platforms, wallets, where access information is stored, and who can help technically. Update it when your holdings or security arrangements change, and tell your family where to find it.

Tax, disputes and remedies

Inheriting crypto isn’t taxable income in India, but heirs who later sell are taxed at 30% on gains, using the deceased’s cost of acquisition, which makes purchase records essential. Disputes in crypto inheritance usually involve heirs and nominees, competing heirs, or exchanges that refuse to release assets. Heirs can apply to Indian courts for succession certificates, probate or letters of administration, and sue nominees who won’t hand over assets to the rightful heirs. Where an exchange refuses to release a deceased user’s crypto despite valid documents, heirs can use the exchange’s grievance process, file complaints, or go to court. For NRIs in Dubai, two coordinated wills, documented holdings and a secure access plan are the foundation of sound crypto inheritance planning.

Related reading: what happens to your crypto when you die, gifting crypto from Dubai to family in India, returning to India from Dubai with crypto, a bank account frozen after a P2P crypto trade, using an Indian exchange’s Dubai entity, a power of attorney from Dubai for Indian property and tokenized real estate in Dubai.

Quick answers

Does an NRI in Dubai need a will in India and the UAE?

Often yes, with each will clearly covering assets in its own country, and drafted so one doesn’t revoke the other.

Does an exchange nominee inherit crypto?

Not necessarily. A nominee is likely to hold assets for the legal heirs, with succession law deciding who inherits.

Is inherited crypto taxed in India?

Inheritance itself isn’t taxed, but gains on later sale are taxed at 30%, using the deceased’s cost of acquisition.

Should a will contain my wallet recovery phrase?

No. Wills can become public during probate. Keep recovery information in a separate secure access plan and write a short digital asset letter listing platforms, wallets, where access information is stored and who can help technically.

What do heirs need to claim crypto from an Indian exchange?

Usually the death certificate, proof of identity and relationship, the deceased’s account details and, where there is no nominee or a dispute, a succession certificate, probate or letters of administration from an Indian court. The exchange will also run KYC on claimants.

Final word

Halverton & Co. is an Indian law firm advising NRIs, founders, investors and businesses in Dubai and across the UAE on Indian law, including Indian wills and succession, crypto estate planning and inheritance disputes for NRIs. We practise in Jharkhand, Maharashtra and before the Supreme Court of India, and work alongside UAE-licensed counsel, who advise on UAE law. Halverton & Co.: Where tech needs law! If you have a question about Indian law, write to us at office@halvertonandco.com, or get in touch.

This article reflects developments reported up to early October 2026. It is for general information only, is not legal advice, and does not create an advocate-client relationship. Halverton & Co. is an Indian law firm and does not advise on UAE law; UAE-law points should be confirmed with UAE-licensed counsel.