Tax planning may cause this mechanism to be less attractive for certain individuals. For example children of the deceased.
One other thing to consider is the probate process. Your assets will not be liquid after your death and an executor will be required. This process can take a long time to settle and with multiple individuals having shares in your estate it becomes messy, especially for personal inheritance.
Another thing that comes to mind is what happens if you stop issuing this token at some stage for some reason. People who bought tokens may potentially be able to sue you for your estate.
Lastly for such a low volume coin It would also be good to specify the precise market for which you would be purchasing from and where all debts are settled.
I think my mechanism simplifies it (although I acknowledge that it requires hiring someone to actually sell everything in the estate). The purchasers of the token do not actually own the estate. The contract deliberately avoids such ownership, it merely states that the money gained from the the sale of all assets will be used to purchase the tokens. It would be made clear that the tokens do not represent shares in the estate, not in a traditional sense.
I probably should have used a better title, because the tokens do not represent equity in the legal sense. They would be a pseudo-equity, like many existing crypto tokens. I don't believe any crypto yet represents equity in same sense as company shares.
I'm not sure how or why. If anything, existing token holders would benefit from a cessation of issuance. That would make the tokens they're holding more scarce when it came to executing the contract.
If it turns out that the law of one country is not amenable to this concept, it would have to be done in a country which is. In practice it would likely use language similar to the EOS ICO terms.
Certainly. This post is only a basic idea, there would have to be more detail for the real thing. If I issued the token on BitShares, then the BitShares decentralized exchange would also be where settlement happens.