CustodyStress
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Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01365

Platform bankruptcy — exchange custody (2025)

Blocked
Case description
A 2025 report on dormant exchange accounts estimated that approximately $2.1 billion in cryptocurrency remained in accounts on exchanges that had undergone bankruptcy proceedings and completed their formal claims processes—but where the original account holders either had not filed claims, had died without heirs filing on their behalf, or were in jurisdictions ineligible to receive distributions. These funds, formally unclaimed within the bankruptcy proceedings, faced varying legal treatment across jurisdictions—some estates retained the unclaimed balance for future creditor distributions, while others had no mechanism to accept further claims.
Custody context
Stress conditionVendor lockout
Custody systemExchange custody
OutcomeBlocked
DocumentationUnknown
Year observed2025
CountryInternational
Structural dependencies observed
Institutional cooperation required
What this illustrates
Getting access back required help from an institution — and that help wasn't available. Access was not recoverable.
Outcome interpretation
Access was not possible under the reported conditions.
Source
Publicly Reported
Evidence type
News article
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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
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