Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01177
For the 340,000 Earn users still blocked, this was the first concrete indication of
ConstrainedCase description
In February 2023, Gemini announced it would contribute up to $100 million of its own cash to the Genesis bankruptcy recovery plan, specifically earmarked for Gemini Earn users. The announcement—made in bankruptcy court—signaled that the full recovery path would involve multiple parties: the Genesis estate, Gemini's own funds, and Digital Currency Group's contributions. For the 340,000 Earn users still blocked, this was the first concrete indication of a potential recovery path, but actual distributions remained months away.
Custody context
| Stress condition | Vendor lockout |
| Custody system | Exchange custody |
| Outcome | Constrained |
| 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. Whether full access was ultimately possible is unclear, but significant delay or outside intervention was involved.
Outcome interpretation
Access remained possible, but only with delay, dependence, or significant difficulty.
Source
Publicly Reported
Evidence type
News article
Related cases involving vendor lockout
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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