The remaining two key holders could technically reach quorum to spend Bitcoin.

Survives

Case description

A 2024 case involved a 2-of-3 multisignature wallet where one of the three key holders had died unexpectedly. The remaining two key holders could technically reach quorum to spend Bitcoin. However, the hardware wallet belonging to the deceased key holder was in their estate and could not be moved or used pending probate. The remaining two holders feared that using their available two keys—without the estate's participation—might create legal complications if the estate later claimed an entitlement to some of the multisig output. An estate attorney advised that their signing rights were independent and unaffected by the death, allowing them to transact after a short period of uncertainty.

Custody context

Stress condition	Multisig quorum failure
Custody system	Hardware wallet (single key)
Outcome	Survives
Documentation	Unknown
Year observed	2024
Country	International

Structural dependencies observed

Legal process required

Outcome interpretation

Access remained possible under the reported conditions.

Source

Privately Reported

Evidence type

News article

Evidence link

https://anthonyspark.com/estate-planning-for-bitcoin/

Related cases involving multisig quorum failure

77 cases involve multisig quorum failure 274 cases involve hardware wallet (single key) View archive statistics →

This archive documents observed custody survivability failures. It does not attempt to document all Bitcoin losses or security incidents. Submit a case

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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.