Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01267
Device lost — Ledger Nano X (2024)
ConstrainedCase description
A 2024 case involved a Ledger Nano X that had been sent for electronics recycling by a family member who didn't recognise it as a Bitcoin wallet. The holder's seed phrase was documented and they were able to restore access on a replacement device within 24 hours. However, the holder's concern was whether the recycling facility had any ability to extract keys from a device that had not been deliberately wiped. A security researcher confirmed that an intact, PIN-locked Ledger device with unknown PIN in a professional recycling environment would not be at risk—PIN protection and hardware security would prevent key extraction without the correct PIN.
Custody context
| Stress condition | Device loss |
| Custody system | Hardware wallet (single key) |
| Outcome | Constrained |
| Documentation | Unknown |
| Year observed | 2024 |
| Country | United States |
What this illustrates
The wallet existed only on that device. When the device became inaccessible, there was no other way back in. 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
Privately Reported
Evidence type
News article
Related cases involving device loss
188 cases involve device loss
274 cases involve hardware wallet (single key)
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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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