Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01262
Platform bankruptcy — exchange custody (2024)
BlockedCase description
A 2024 estate case involved a deceased Bitcoin holder who had used a now-defunct exchange that had gone out of business in 2019. The exchange had been headquartered in a country that was later subject to US sanctions, complicating any potential recovery through legal channels. The estate held records confirming the balance at the time the exchange ceased operations but had no mechanism to recover the assets—there was no bankruptcy trustee, no successor platform, and no regulatory authority with jurisdiction over the defunct entity's remaining liabilities.
Custody context
| Stress condition | Documentation absent |
| Custody system | Exchange custody |
| Outcome | Blocked |
| Documentation | Unknown |
| Year observed | 2024 |
| Country | United States |
Structural dependencies observed
What this illustrates
Getting access back required help from an institution — and that help wasn't available. Access was not recoverable.
Outcome interpretation
Access was not possible under the reported conditions.
Source
Privately Reported
Evidence type
News article
Evidence link
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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