A Friend Bought Crypto for My Newborn Baby. Do I Have to Hold on to It?
By Kwame Anthony Appiah, The New York Times | May 28, 2025
NEW YORK — The rise of cryptocurrency has sparked noteworthy discussions on the ethics of gifting digital assets, particularly when it involves the financial future of a newborn. In a recent column in The New York Times’ Ethicist series, a new parent poses a dilemma regarding a Bitcoin gift intended for their daughter.
The Gift of Cryptocurrency
After the birth of their baby girl, a couple from New York received a gift of $175 in Bitcoin from a close college friend. Describing the friend as an avid cryptocurrency enthusiast, the father expresses skepticism about the long-term viability of the asset. He recalls his friend’s assertion that they should hold on to the Bitcoin until their daughter’s bat mitzvah, predicting it would increase significantly in value by then.
However, the father worries about the potential of the investment, suggesting that it might be worthless in 12 years. Faced with this uncertainty, he seeks guidance on whether he should respect his friend’s wishes and hold the Bitcoin until the bat mitzvah, or if he has a fiduciary responsibility to sell it now, given his concerns about its future value.
Ethical Considerations of Gifting Crypto
In responding to the worried new parent, Appiah clarifies the nature of the gift. “Your friend didn’t leave you a nest egg you’re honorbound to protect,” he writes, suggesting that the crypto donation is more of a “souvenir” or “digital gewgaw” rather than a serious investment for the child’s future.
The essence of the ethical consideration lies in balancing the friend’s intentions with the reality of the investment’s risk. By selling the Bitcoin now, the father could easily convert it into more tangible gifts, such as a celebratory cake for his daughter. However, he must also weigh the importance of his friend’s wishes against his own judgments about the asset.
Fostering Relationships and Making Choices
Appiah points out that ignoring the friend’s request could strain their friendship. The columnist emphasizes the potential ramifications of monetarily benefiting from a gift while going against the giver’s intentions. To maintain the friendship, he suggests honoring the gift as it was intended: a speculative wish tied to the friend’s enthusiasm for cryptocurrency.
If the value of the Bitcoin diminishes over time, the father is also advised to approach the situation with a sense of humor. He could find value in the knowledge that he may have been right about his concerns all along, while also keeping the peace with his friend.
Conclusion
This scenario highlights the complexities surrounding financial gifts, particularly those involving volatile assets like cryptocurrency. While the responsibilities of managing the child’s future finances are significant, so too are the social obligations tied to honoring a friend’s wishes. In navigating this personal dilemma, new parents are reminded that the true value of a gift often lies beyond its monetary worth.
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