Roo's All-In Giveaway, $300,000 in Prizes

Passing On Cryptocurrency to Your Successor Before Death

As more and more people adopt cryptocurrencies for everyday use, their usage as a store of wealth and investments increases. An experience of more than 14 years and a total market cap of $813B as of January 2023 highlights their increasing preference.

However, cryptocurrencies offer some complications when passing on to the next of kin in the event of death. Their digital nature, high level of privacy, and lack of a third party create this challenge. Therefore, a person must learn how to take control of the allocation of their cryptos in the event of death.

Top Ways Of Passing Cryptos On

No one is ever certain of tomorrow. That’s the fragility of life. So on passing on, the family of a crypto holder may discover the wealth saved by their deceased. But without his/her private keys, this wealth might be forever out of reach to them or anyone.

As such, there are certain ways a crypto user can ensure that on his/her death, the coins get to their preferred successors. The most credible ones include the following:

Updating One’s Cryptos On Their Wills

There are very few documents that are as important as one’s will. It is a document that sets out one’s wishes regarding distributing wealth upon death. Crypto should, therefore, be no exception when drafting the document.

The will should be regularly updated to reflect changes in storage wallets to account for all the coins in a user’s investment portfolio.

Importance of  Private Keys

When drafting a will, one must make the reclamation process simple. Unfortunately, due to blockchain’s relatively young nature, few are well-versed in concepts such as public and private keys. The private Keys enable the access crypto assets.

Furthermore, one’s private Keys should be secured in a safe place with clear instructions on who can access them. Such a step would help starve a phenomenon termed in law as “probate by a truck.” In such a situation, any potential heir could walk off with the private key by claiming that “the owner would have wanted me to have it.”

Entrusting a Commercial Service

A crypto holder could also entrust a commercial service with several key details about their crypto assets. These details include the private keys and the preferred recipient of these keys.

The service could be crypto exchange providers, who usually run the trade in cryptos. Many of these platforms usually have a policy governing the transfer of cryptos to the next of kin.

While commercial services provide a means of transferring digital assets to successors, they don’t notify the next of kin of their existence. This is because they lack the means to track a user’s well-being. Therefore, it is up to the asset holder to inform his/her successors of the existence of the cryptos.

Also, to further safeguard the transfer, this system works better with the existence of a will. It will notify potential heirs of the coins’ existence and state the preferred successor to prevent the emergence of “probate by a truck.” It also prevents fraudsters from making away with the wealth using false death claims.

This pass-on form only works for assets still in the exchange platform. Those already moved to other wallets are inaccessible and may need other ways to pass on.

Separate Storage Of Crypto Inheritance Information

A person may privately store the details regarding their cryptos safely. These may be on devices such as flash disks, memory cards, or documented papers.

These stored details regarding the volume of one’s crypto assets, where they are being stored, and what the private keys are may be accessed by the successors on passing on.

The owner of the assets must inform his/her successor of the coins’ existence and where the information is stored. Files such as private keys are easily dismissible by potential successors. Care must, however, be taken to inform only the successors. 

Their characters must also be considered when discussing the amount of information; some may make off with wealth. The data should also be frequently updated to ensure all crypto assets are accounted for. Finally, the process of reclamation should be simplified and clearly stated.

Moving Assets To Paper Wallets

After transactions on exchange platforms, cryptos may be stored in crypto wallets. The most secure of these are cold wallets, which don’t have internet access and can’t be hacked. These include hardware wallets and paper wallets.

Paper wallets are documents containing one’s private keys and addresses. As such, a successor can access the cryptos to gain their possession.

The information must be passed on to the successors regarding accessing these paper wallets. Care must be taken, however, to ensure that only the successors have this information. In addition, the character of the successor needs to be assessed before sharing the information.

The current holder must ensure that all the cryptos are promptly moved to paper wallets upon completing every crypto transaction. These wallets should then be stored, and the information on their accessibility should be updated as soon as possible. Such steps will minimize the loss of coins not yet transferred.


The intangible nature of cryptos, coupled with their high privacy levels and the lack of a trusted third party, does pose a challenge when passing them on to successors. But as outlined, some clear steps and processes can enable this.

Bitcoin live price
price change

Each named way of passing them on is quite feasible and may prevent wealth loss on death. But the best action is creating a hybrid system by combining most of these listed ways. It ensures that as much of one’s digital assets as possible will be passed on to a person’s successors when they die.

Stay up to date with our latest articles

More posts

Why SolidProof Stands Out in the Blockchain Security Landscape

SolidProof - a registered security company from Germany - has announced the imminent release of an updated version of its SolidProof Automated Audit Tool (SAAT). This unique blockchain industry product supports decentralized finance (DeFi) growth, enabling projects to minimize security threats. An upgraded SolidProof App is also ready to roll out with new and exciting features, cementing SolidProof’s place in the top tier of blockchain security providers. Increased Challenges for DeFi Security Decentralized finance has evolved on top of blockchain…

Top 5 Crypto Gaming Tokens to Buy for the Next Bull Run

Crypto gaming is one of the fastest-developing sectors of the blockchain industry. In 2023, it is estimated at $7.89 billion and is forecasted to reach over $300 billion by 2030. Some see it as the next ship to onboard for lucrative long-term investments. And after a closer look at it, we can easily understand why. The strength of the crypto gaming market lies at the crossroads of several technological advances, including blockchain, cryptocurrencies, and the Metaverse. Including new economic models,…

Top 3 Crypto Casinos in 2023

Playing at crypto casinos is a widespread practice in 2023. These online platforms feature all the classic casino games, like poker, Roulette, and Blackjack, besides modern interactive slots and sports betting. Players worldwide can make crypto deposits in Bitcoin, Ethereum, and other popular cryptocurrencies for the chance to win substantial jackpots, bonuses, and rewards. If you are wondering how to choose a crypto casino, you have come to the right place. We selected three of the top crypto casinos this…

Using Open-Source Protocols for Developing Scalable Solutions on Blockchain

Blockchain technology's safe, transparent, and decentralized transaction platform might transform several sectors. However, building scalable blockchain solutions can be a challenging task.  This short guide will explore how to leverage open-source protocols to develop scalable blockchain solutions. The article aims to make it easier for developers to plan the realization of robust and secure blockchain applications.  Understanding Open-Source Protocols Open-source protocols, such as Ethereum and Hyperledger Fabric, come from organizations and are available for anyone to code for free. Unlike…

How to Leverage Arbitrage Opportunities in Crypto Markets

Cryptocurrency arbitrage has become an increasingly popular investment strategy as the crypto market grows and evolves. Arbitrage involves taking advantage of pricing discrepancies between markets or exchanges to profit.  Investors can leverage profit opportunities by understanding cryptocurrency arbitrage while managing associated risks. In this guide, we'll explore cryptocurrency arbitrage and how it works. A Bitcoin-related example will help us illustrate the concepts of this strategy. What is Arbitrage and How Does it Work in Crypto Markets Crypto arbitrage trading is…

The Different Types of Copy Trading in Crypto

Are you interested in trading cryptocurrencies but feel intimidated by the complexity of the process? Copy trading is a great way to get into crypto without needing to be an experienced trader. With copy trading, investors can benefit from the experience and knowledge of more experienced traders, allowing even beginners to succeed. How does copy trading work, and which tips do you need to know to succeed? In this article, we'll explore all aspects of copy trading in crypto. What…

How to Spot an Unsafe Crypto Exchange

Cryptocurrency exchanges have become increasingly popular as they provide a platform for people to buy and sell digital assets. Unfortunately, not all crypto exchanges are safe or reliable.  With the rise of cybercrime and fraud, you must learn to spot an unsafe crypto exchange before investing your money. This guide will help beginners identify and avoid potential risks when selecting a cryptocurrency exchange.  The Role of Crypto Exchanges on the Digital Assets Market Cryptocurrency exchanges play a crucial role in…

A Guide to the Impact of US Fed’s Interest Rates on Crypto

The US Federal Reserve's interest rate is one of the world's most influential economic indicators. These rates profoundly affect global markets and investments.  But what impact does this have on cryptocurrencies? Today, we’ll explore how Fed interest rate changes affect crypto prices and why traders need to pay attention to them. We will also discuss how quickly these rates are increasing and what this means for cryptocurrency investors.  Observing the connection between US Fed rates and crypto assets allows you…

Unveiling the ERC-4337 Account Abstraction Standard – What You Should Know

The Ethereum blockchain is always changing and adding new features to make it easier to use. One of the latest developments is the introduction of ERC-4337. This account abstraction standard promises to revolutionize how users interact with Ethereum. This guide will tell you about ERC-4337. We'll explain what it is, how it works, and the good and bad things about it. We'll also talk about why you should use this new standard for smart contracts. By the end of this…

What Is Grid Trading in Crypto?

Crypto grid trading has become a popular strategy because of its ability to help traders capitalize on market volatility. Grid trading means you can produce consistent profits by taking advantage of price differences in different markets or time frames. By establishing buy and sell orders at predetermined intervals, you can take advantage of these fluctuations in an automated way. This guide will explore the different aspects of grid trading and provide an overview of its benefits, challenges, and more. Through…