If a digital asset has been monetized, it could be part of divorce negotiations. A monetized digital asset could be ad-click revenue received from an owned domain name, blog or electronic storefront. Another example is an annual blog subscription. Consider what information is needed to analyze an income-producing blog.
- Who started the blog? (One spouse or together?)
- When was the blog started? (Before or during marriage?)
- Did the other spouse contribute to the blog? (Posting, editing or advancing it?)
If the blog started before the marriage, and the creating spouse primarily maintained it, it may be considered premarital property. However, if the other spouse put time and effort into the blog, the associated value may become an asset for consideration in the separation agreement.
If the blog started during the marriage, the value would likely be split between spouses. I haven’t performed a blog valuation, but I presume it would consist of an income approach where a capitalization rate would be applied to a normalized cash flow.
Income-generating assets are becoming more common in marital estates. Keeping creation and business records on these assets, as you would in a traditional business, will make division of assets easier during divorce.