Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01292
The professional service had been wound down in 2023 and was no longer operating.
SurvivesCase description
A 2024 estate case involved a 3-of-5 multisignature wallet where the deceased holder had held two of the five keys, a trusted friend held one, and two further keys were held by the deceased's brother and a professional co-signing service. The death meant two keys were immediately inaccessible—the deceased's two—and quorum (3 of 5) could only be reached with the friend's key, the brother's key, and the professional service's key. The professional service had been wound down in 2023 and was no longer operating. The estate was able to reach quorum using the three remaining available keys, but only after extensive effort to confirm that the defunct service's key was definitively unavailable rather than recoverable.
Custody context
| Stress condition | Multisig quorum failure |
| Custody system | Hardware wallet (single key) |
| Outcome | Survives |
| Documentation | Unknown |
| Year observed | 2024 |
| Country | International |
Outcome interpretation
Access remained possible under the reported conditions.
Source
Privately Reported
Evidence type
News article
Related cases involving multisig quorum failure
77 cases involve multisig quorum failure
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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