Part of the CustodyStress archive of observed Bitcoin custody incidents
Hardware wallet (single key)
Cases in this category involve single-key hardware wallets. The device holds the private key offline. Recovery depends entirely on whether an independent seed phrase backup exists.
Hardware wallets appear in a large share of device-loss cases. The device itself is replaceable — the seed phrase restores access to any compatible wallet. Cases that resulted in blocked access share a common factor: no seed phrase backup existed, or the backup was stored with the device and lost alongside it.
274 observed cases
Blocked
100 (36%)
Constrained
45 (16%)
Survives
86 (31%)
Indeterminate
43 (16%)
By 2019 one relative had emigrated and their copy was at an unreachable address.
Hardware wallet (single key)
An estate case from September 2019 involves a living person who had distributed their seed words across three paper documents given to three relatives. By 2019
They returned to retrieve it and found the hiding spot had been landscaped over by
Hardware wallet (single key)
A user stored their seed in a custom-built waterproof container that they hid outside their home. In October 2019 they returned to retrieve it and found the hid
Hidden wallet discovered — Trezor (2019)
Hardware wallet (single key)
A Trezor user whose device was destroyed in a kitchen fire in February 2019 found that their seed phrase, stored in a nearby drawer, had also been damaged. Most
Device discarded — hardware wallet (2019)
Hardware wallet (single key)
A Ledger user left their hardware wallet in a hotel room during a business trip in March 2019. The hotel housekeeping service discarded the device thinking it w
Seed unavailable — hardware wallet (2019)
Hardware wallet (single key)
A user who had distributed their seed across three sealed envelopes — one with a lawyer, one at home, one with a family member — found in June 2019 that the law
A user's home was flooded in June 2019 by a burst main water pipe.
Hardware wallet (single key)
A user's home was flooded in June 2019 by a burst main water pipe. Their hardware wallet device was submerged for 36 hours. The device was non-functional after
Recovery from the device alone was attempted but the device required a seed after a PIN
Hardware wallet (single key)
A user discovered in January 2019 that their hardware wallet seed phrase had been stored in a sealed envelope given to their solicitor. The solicitor had retire
Seed phrase unavailable — hardware wallet 2019
Hardware wallet (single key)
A user who had stored their seed phrase in a safety deposit box emigrated and closed their domestic bank account in February 2019. The bank sent contents of the
The user had no access to their Bitcoin during the wait.
Hardware wallet (single key)
A Ledger user found in March 2019 that their device's firmware update had failed and bricked the device. The seed phrase was stored securely and used to restore
The plate was placed in a moving box that was subsequently lost by the removals company.
Hardware wallet (single key)
A user who had stored their seed in a metal plate buried in their garden moved house in May 2019 and dug up the plate for transport. The plate was placed in a m
Seed phrase unavailable — hardware wallet 2018
Hardware wallet (single key)
A user whose hardware wallet and seed phrase had both been stored in a bank safe deposit box found in November 2018 that the bank branch had closed and all safe
One of the three trusted custodians died and their family discarded all personal papers.
Hardware wallet (single key)
A user had divided their 24-word seed into three 8-word fragments and given each to a trusted person. In November 2018 one of the three trusted custodians died
Seed unavailable — hardware wallet (2018)
Hardware wallet (single key)
An August 2018 forum case describes a user who had photographed their seed phrase and stored the photo in an encrypted folder. The encryption software was disco
Seed unavailable — hardware wallet (2018)
Hardware wallet (single key)
A July 2018 forum case describes a user who had their seed phrase sealed in an envelope given to their solicitor for safekeeping. The solicitor's firm was disso
Device discarded — hardware wallet (2018)
Hardware wallet (single key)
An October 2018 case describes a user who dropped their hardware wallet behind a radiator. When the radiator was replaced by a plumber the device was not found
Seed phrase unavailable — hardware wallet 2018
Hardware wallet (single key)
A user who had memorised their 24-word seed and kept no written backup suffered a traumatic head injury in July 2018. Upon hospital discharge eight weeks later
A renovation contractor removed and discarded the floorboard without the homeowner's
Hardware wallet (single key)
A Ledger Nano S user stored their seed in a sealed envelope under a loose floorboard. In February 2018 a renovation contractor removed and discarded the floorbo
The parcel was lost in transit.
Hardware wallet (single key)
A Ledger Nano S user had their device mailed to a repair facility after the screen cracked. The parcel was lost in transit. The user's seed phrase was stored at
A hardware wallet user's device was destroyed in a house fire in March 2018.
Hardware wallet (single key)
A hardware wallet user's device was destroyed in a house fire in March 2018. The seed phrase had been stored in a fireproof safe at the same property. The safe
Seed phrase unavailable — hardware wallet 2018
Hardware wallet (single key)
A user who had stored their seed in a container buried in their garden found in June 2018 that the location had been built over after the property was sold. The
Seed unavailable — hardware wallet (2018)
Hardware wallet (single key)
A hardware wallet user whose device stopped working in January 2018 found that their seed phrase card, stored in a safety deposit box, had been improperly lamin
During a house move the specific book was lost among approximately 400 others sent to
Hardware wallet (single key)
An April 2017 case describes a user who stored their hardware wallet seed inside a hollowed-out book on a shelf. During a house move the specific book was lost
Device stolen while travelling — Trezor (2017)
Hardware wallet (single key)
A user who had stored their Trezor in a jacket pocket had the jacket stolen from a gym locker in February 2017. The thief had the device and the PIN code writte
They were made redundant and escorted from the premises without access to their desk.
Hardware wallet (single key)
A user stored their Ledger seed in a locked drawer at their workplace. In January 2017 they were made redundant and escorted from the premises without access to
Seed phrase unavailable — hardware wallet 2017
Hardware wallet (single key)
A Trezor user who had stored their seed phrase inside a picture frame discovered in February 2017 that the frame had been sold at a yard sale by a family member
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