Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01114
Platform bankruptcy — Celsius (2023)
IndeterminateCase description
Estate executors dealing with Celsius, Voyager, FTX, or BlockFi holdings in 2023 faced a compounded custody problem: the deceased had held Bitcoin on one or more bankrupt exchanges, and the executor needed to simultaneously navigate probate proceedings and bankruptcy claims. Most bankruptcy claims portals required the account holder's login credentials or identity verification that only the deceased could provide. Executors without access to the original account needed court orders and extended coordination with bankruptcy administrators to substitute as claimants.
Custody context
| Stress condition | Owner death |
| Custody system | Exchange custody |
| Outcome | Indeterminate |
| Documentation | Unknown |
| Year observed | 2023 |
| Country | United States |
Structural dependencies observed
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 owner death
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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