AN OXFORD law firm has revealed it is dealing with a 'high value' divorce battle in the county over cryptocurrency.

Royds Withy King said the county case is one of a growing number where spouses are seeking a potential share of assets in Bitcoin and similar currencies, and warned that a 'crypto cash divorce nightmare' is looming.

The firm said it is currently dealing with three divorce cases - one in Oxfordshire and two in London - where husbands have invested in cryptocurrencies which are now causing complications in divorces.

Partner Mark Phillips said: "These are the first cases we have seen, and we expect to see many more."

He went on: ": “Cryptocurrencies have been with us since 2009 when Bitcoin was launched but have only recently become an issue for separating couples as awareness, values and media interest have soared.

"There will also be those divorces where a spouse may not have disclosed such assets leaving a traceability nightmare.

"Cryptocurrencies have seen some individuals accumulate considerable wealth from a small investment, and the nature of these currencies make it very easy for one party to hide assets. Unless a spouse discloses an investment in cryptocurrencies, it is entirely possible for them to remain hidden.

"Parties have a duty to provide full and frank disclosure of their assets during a divorce and if there is no disclosure or evidence of the existence of cryptocurrencies, it will be extremely difficult for a party to receive their fair share of the matrimonial assets.

"Tracing cryptocurrencies could be enormously time-consuming and expensive. This is, of course, much easier if cryptocurrencies are traded via an online investment platform and bought with funds from a bank account, as the original value of the transaction can then be established.

"When cryptocurrency is purchased directly and moved offline, it becomes almost impossible to trace."