One key holder relocated to a country under US sanctions in October 2021.

Survives

Case description

An October 2021 case describes a family Bitcoin trust using a 2-of-3 multisig. One key holder relocated to a country under US sanctions in October 2021. The remaining family members had a 2-of-3 quorum but their exchange's compliance team flagged all transactions involving the sanctioned-country resident as potentially violating OFAC rules. The exchange suspended all co-signing from that key.

Custody context

Stress condition	Multisig quorum failure
Custody system	Mobile or software wallet
Outcome	Survives
Documentation	Unknown
Year observed	2021
Country	Unknown

Structural dependencies observed

Legal process requiredInstitutional cooperation required

Outcome interpretation

Access remained possible under the reported conditions.

Source

Publicly Reported

Evidence type

Forum post

Evidence link

https://medium.com/@wayne_huang/rsa-2015-panel-bitcoin-s-future-threats-expert-s-roundtable-based-on-150-case-studies-92cc35e68e30

Related cases involving 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. 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.