CustodyStress
Archive › Multisig quorum failure
Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01039

Platform bankruptcy — FTX (2022)

Indeterminate
Case description
Multiple institutional custody arrangements that had relied on FTX as a co-signer or custodian in multisignature wallet configurations lost access to funds when FTX collapsed in November 2022. Entities that had used FTX's infrastructure as one of multiple required signers discovered that FTX's keys were now controlled by the bankruptcy estate. Transactions requiring FTX's signature could not be executed without court approval, creating an indefinite block on funds held in these arrangements.
Custody context
Stress conditionMultisig quorum failure
Custody systemInstitutional custody
OutcomeIndeterminate
DocumentationUnknown
Year observed2022
CountryInternational
Structural dependencies observed
Institutional cooperation required
What this illustrates
Getting access back required help from an institution — and that help wasn't available. It's not clear whether anyone ever regained access.
Outcome interpretation
Not enough information is available to determine the outcome.
Source
Publicly Reported
Evidence type
News article
Related cases involving multisig quorum failure
77 cases involve multisig quorum failure 10 cases involve institutional custody 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
Terms guide
Survives
Access remained possible under the reported conditions.
Constrained
Access remained possible, but only with delay, dependence, or significant difficulty.
Blocked
Access was not possible under the reported conditions.
Indeterminate
There was not enough information to determine the outcome.
Single-person knowledge
Recovery depended on information or capability held by one individual who was unavailable.
Institutional dependence
Recovery depended on a third-party institution or service that was inaccessible or uncooperative.
Documentation gap
Recovery depended on instructions that were missing, incomplete, or unclear.
Authority mismatch
The person with legal authority to act did not have operational access, or vice versa.
Original text
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