Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01069
The attorney died unexpectedly, leaving the family with access to only two of three
IndeterminateCase description
A family-run Bitcoin holding entity had established a 2-of-3 multisignature wallet with keys held by two brothers and a family attorney. In April 2022, the attorney died unexpectedly, leaving the family with access to only two of three keys—still above quorum. However, one of the brothers had stored his key on a hardware device that had been lost. The family was left with one confirmed key and one potentially-recoverable device, below the 2-of-3 quorum required for any transaction. Recovery required locating the lost device or obtaining a court order to modify the quorum requirement—neither of which was straightforward.
Custody context
| Stress condition | Multisig quorum failure |
| Custody system | Institutional custody |
| Outcome | Indeterminate |
| Documentation | Unknown |
| Year observed | 2022 |
| Country | International |
Structural dependencies observed
What this illustrates
Recovery needed multiple people to act together — and getting everyone to coordinate wasn't possible. It's not clear whether anyone ever regained access.
Outcome interpretation
Not enough information is available to determine the outcome.
Source
Privately Reported
Evidence type
News article
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77 cases involve multisig quorum failure
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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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