CustodyStress
Archive › Owner incapacity
Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-00548

Owner incapacity — exchange custody (2018)

Blocked
Case description
A cryptocurrency day trader was arrested on unrelated charges in March 2018 and held for 45 days before bail was granted. During that period their exchange account had open leveraged positions that were liquidated due to margin calls they could not respond to. A designated account manager had not been arranged. The liquidation occurred during a volatile period.
Custody context
Stress conditionOwner incapacity
Custody systemExchange custody
OutcomeBlocked
DocumentationUnknown
Year observed2018
CountryUnknown
Structural dependencies observed
Legal process requiredSingle point of failure
What this illustrates
Before anyone could access the funds, a legal process had to be completed first. Access was not recoverable.
Outcome interpretation
Access was not possible under the reported conditions.
Source
Publicly Reported
Evidence type
Forum post
Related cases involving owner incapacity
68 cases involve owner incapacity 512 cases involve exchange 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
← All cases
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
Rate this translation
Your feedback will be used to help improve Google Translate