Self-sovereignty is the principle of self-sovereignty in the crypto space investors must rely on a decentralized, trust-free network instead of a central authority that can lower the value of holdings of others. A drawback with self-sovereignty is inheritance. The estimated amount of 4 million Bitcoin ( BTC) was lost with time and remains in wallets that are not accessible.
What percentage of those bitcoins are the property of HODLers who died without sharing accounts with others? Many believe Satoshi Nakamoto’s one million BTC fortune hasn’t been touched because no one else had access to it. A study that was conducted in 2020 by the Crenation Institute has notably found that almost 90 percent of owners of cryptocurrency are concerned about their wealth and what happens to them when they pass to death.
Despite this, cryptocurrency users were discovered as being four times more likely to make use of wills to inherit than those who are not crypto investors. The apparent lack of a solution isn’t likely to be discussed widely. In an interview with Cointelegraph, Johnny Lyu, the chief executive officer of the crypto exchange KuCoin, stated that crypto inheritance was “poorly recognized” since the majority of crypto users have young children and, in that sense, don’t think about their passing or inheritance. Furthermore, Lyu states that we haven’t yet “come to a precedent in the law regarding this issue.” This means that there’s not enough expertise “in the resolution of inheritance disputes, as such as, for instance, cases of theft or the return of cryptocurrency.” According to Lyu, it is clear that cryptocurrency inheritance “comes down to providing family members with keys to their private accounts.”