Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-00733
They were threatened over a two-week period and ultimately transferred 4 BTC from
ConstrainedCase description
A July 2019 case describes a cryptocurrency exchange employee coerced by organised criminals who had identified the employee's role through LinkedIn. They were threatened over a two-week period and ultimately transferred 4 BTC from a personal wallet before disclosing the coercion to their employer and police. Chain analysis traced the coins to an exchange account linked to Eastern European organised crime.
Custody context
| Stress condition | Physical coercion |
| Custody system | Mobile or software wallet |
| Outcome | Constrained |
| Documentation | Unknown |
| Year observed | 2019 |
| Country | Unknown |
Structural dependencies observed
What this illustrates
There was only one way in. When that path was gone, so was access. Whether full access was ultimately possible is unclear, but significant delay or outside intervention was involved.
Outcome interpretation
Access remained possible, but only with delay, dependence, or significant difficulty.
Source
Publicly Reported
Evidence type
Forum post
Evidence link
Related cases involving physical coercion
105 cases involve physical coercion
572 cases involve mobile or software wallet
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This archive documents observed custody survivability failures. It does not attempt to document all Bitcoin losses or security incidents.
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Framework references
Where Bitcoin Custody Intersects Legal and Fiduciary Authority
Where custody creates gaps in estate planning, fiduciary duty, and professional responsibility.
Professional Scope Boundary Matrix
What each professional or product covers, what they do not, and where gaps form between them.
The Independent Assessment Layer in Bitcoin Custody
How independent diagnostic layers emerge when multiple parties depend on shared infrastructure.
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