Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01326
Institutional lockout — FTX (2025)
ConstrainedCase description
A class of FTX creditors that remained structurally disadvantaged through all 2025 distribution rounds were those who had originally deposited Bitcoin but whose claims were valued in dollars at the November 2022 petition date. Bitcoin's price had risen from approximately $16,000 at the petition date to over $100,000 by late 2025—a gain exceeding 600%. Creditors who received cash distributions at petition-date valuations recovered 119% or more of their November 2022 dollar value, but received only a fraction of what their Bitcoin would have been worth if held in self-custody through the bull market. The cash-at-petition-date structure was inherent in US bankruptcy law and could not be altered by the estate.
Custody context
| Stress condition | Vendor lockout |
| Custody system | Exchange custody |
| Outcome | Constrained |
| Documentation | Unknown |
| Year observed | 2025 |
| 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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