Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-00113
Documentation absent — exchange custody (2014)
ConstrainedCase description
Flexcoin's cold wallet customers were told their BTC was safe and would be returned after identity verification. However Flexcoin published no formal claims process, no timeline, and no independent confirmation of cold wallet balances. Customers received informal communications only, with no legal framework governing distribution.
Custody context
| Stress condition | Documentation absent |
| Custody system | Exchange custody |
| Outcome | Constrained |
| Documentation | Unknown |
| Year observed | 2014 |
| Country | Canada |
Structural dependencies observed
What this illustrates
Nobody had written down how to get back in. That knowledge existed only in the owner's head. 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
News article
Related cases involving documentation absent
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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