Intangibles are assets that lack physical substance and cannot be held or manipulated. They are usually very difficult to value and suffer from typical market failures of non-rivalry and non-excludability. Examples of intangible assets include patents, copyright, franchises, goodwill, trademarks, and trade names, as well as any form of digital asset such as software or cryptocurrency. Intangible assets are commonly held by businesses and can be divided into two categories: identifiable and unidentifiable. Identifiable intangible assets can be separated from other assets and can even be sold or bought from other businesses, while unidentifiable intangible assets cant be separated from the business. Examples of unidentifiable assets are brand recognition, corporate reputation, and client relationships. Intangible assets are expected to generate returns for the business in the future and are recorded as long-term assets on the balance sheet. Unlike tangible assets, which are depreciated, intangible assets are amortized.