CustodyStress
Archive › Multisig quorum failure
Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-00397

The attorney retired suddenly in November 2016 and transferred their practice.

Survives
Case description
A Bitcoin escrow arrangement for a business acquisition used a 2-of-3 multisig. One key was held by the buyer, one by the seller, and one by an escrow attorney. The attorney retired suddenly in November 2016 and transferred their practice. The successor attorney was not familiar with Bitcoin and refused to serve as key holder. The acquisition was delayed for two months while a new key holder was arranged.
Custody context
Stress conditionMultisig quorum failure
Custody systemMobile or software wallet
OutcomeSurvives
DocumentationUnknown
Year observed2016
CountryUnknown
Structural dependencies observed
Institutional cooperation requiredSingle point of failure
Outcome interpretation
Access remained possible under the reported conditions.
Source
Publicly Reported
Evidence type
Forum post
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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.