A lot of people might say, “I’ve written it down somewhere, they’ll figure it out.” But let’s be honest — in a real emergency, things get messy. Crypto isn’t like a traditional bank account where someone can just present a death certificate and get access. If you haven’t made a clear and secure plan, your coins could end up lost forever.
I actually know someone this happened to — a guy I met a while back died unexpectedly in an accident. He had a cold wallet with a decent chunk of BTC, and to this day, his wife still hasn’t been able to recover any of it. He didn’t use any kind of inheritance system or trusted setup. It’s just... gone.
If this reason is excessive fear from the investment efforts undertaken in Bitcoin then what is the difference between people who store money in the bank but no heir knows it. Yes, maybe the bank will contact the heirs and try to provide an explanation so that they can withdraw the money in a certain way. Then what if you have a number of real estate and shophouses but the disaster makes everything disappear without a trace due to a disaster. Everything has a risk but you can minimize these risks in a far more relevant way and I am sure you understand the meaning.
To restore the wallet, it takes a seed phrase and maybe his wife needs to find it first. In a further capacity you may be able to measure a number of bitcoin that cannot be recovered for reasons of death and it is entirely the mistake of the holder because it is too closed and does not have someone who is trusted.