Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01363
Passphrase unavailable — software wallet (2025)
BlockedCase description
A 2025 case involved a Samourai Wallet user who had set a BIP39 passphrase and used the wallet's privacy features. The wallet had been on a phone that died with a failed battery. The holder had the seed phrase but not the passphrase. Because the Samourai implementation used the passphrase to derive the xpub key that funded the wallet, without the passphrase none of the on-chain activity was visible on the base derivation path. A recovery specialist confirmed there was no computational shortcut—the passphrase could be any string, and the holder had no memory of it or any notes about it. The funds remained inaccessible.
Custody context
| Stress condition | Passphrase unavailable |
| Custody system | Mobile or software wallet |
| Outcome | Blocked |
| Documentation | Unknown |
| Year observed | 2025 |
| Country | United States |
Structural dependencies observed
What this illustrates
The seed phrase was there, but the passphrase that unlocked it was gone. Both are required. Access was not recoverable.
Outcome interpretation
Access was not possible under the reported conditions.
Source
Privately Reported
Evidence type
News article
Related cases involving passphrase unavailable
217 cases involve passphrase unavailable
572 cases involve mobile or software wallet
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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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