Bitcoin in the event of owner death
Bitcoin in the event of owner death
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My husband mined a small amount of Bitcoin using his computer back in the day. As it's super encrypted and has to remain that way for security, we're stumped about how I can access it if he dies.
Any ideas?
My husband mined a small amount of Bitcoin using his computer back in the day. As it's super encrypted and has to remain that way for security, we're stumped about how I can access it if he dies.
Any ideas?
Re: Bitcoin in the event of owner death
You just need the private key to his bitcoin wallet. Every bitcoin wallet has a private key of numbers or some use a series of phrases that gives you access to the wallet.
Re: Bitcoin in the event of owner death
How do I keep this secure? We don't want to print it out in case our home gets broken into.Kenkat wrote:You just need the private key to his bitcoin wallet. Every bitcoin wallet has a private key of numbers or some use a series of phrases that gives you access to the wallet.
We don't use an online wallet service. Everything is only on his machine. Should we consider an online service?
Re: Bitcoin in the event of owner death
This thread is now in the Personal Consumer Issues (the bitcoin question has been answered, it's now about backup solutions).
sawhorse - If the computer came to an early demise (today, for example), do you have the data backed up?
If you have a backup, do you know how to restore the data? Many people say "I have a backup". When reality happens, the statement often turns into "I don't know how to restore the data."
This is a good time to practice both (1) backing up the computer and (2) restoring deleted data. That's two steps, you need to know how to do both.
If you feel more comfortable with an online solution, go for it.
sawhorse - If the computer came to an early demise (today, for example), do you have the data backed up?
If you have a backup, do you know how to restore the data? Many people say "I have a backup". When reality happens, the statement often turns into "I don't know how to restore the data."
This is a good time to practice both (1) backing up the computer and (2) restoring deleted data. That's two steps, you need to know how to do both.
If you feel more comfortable with an online solution, go for it.
Re: Bitcoin in the event of owner death
Thanks Lady Geek. That's a good point about backups. I know he backs up stuff to somewhere, but I have no idea how to access the backup.
Re: Bitcoin in the event of owner death
There is no good solution to this problem. Anyone to whom you entrust the key could take the money. You can use a safe deposit box or similar to increase the security of a printed key but it's not perfect. If you use an online service, all an attacker needs to compromise is your first and second factors for authentication (password and mobile phone) which is even less secure imo.
Re: Bitcoin in the event of owner death
When I travel I keep important information like my credit card numbers and a scan of my passport on an encrypted USB flash drive. That way if I lose my wallet I will have the numbers to cancel the credit cards and a copy of my passport for getting a replacement. If you go to some place like Amazon and search for "encrypted flash drive" you will find lots of them.
The one I have will automatically wipe the information on the flash drive if there are too many incorrect passwords entered.
You could put the bitcoin key on one of those and keep it in a safety deposit box.
You would still need the flashdrive password to get into the encrypted USB drive but you could keep that elsewhere.
A couple of things;
1) In addition to you being able to get to it you would also need to have a way for other heirs to get to it if you are not around then and they will need to know that it exists.
2) Backups and USB drives will occasionally go bad especially if they are stored for a long time so you need to have multiple ways to get the information.
3) If you keep the backup in your house where the computer is that will not work if the house burns down.
4) If you would not buy the Bitcoin today then why not cash it out and invest the money?
The one I have will automatically wipe the information on the flash drive if there are too many incorrect passwords entered.
You could put the bitcoin key on one of those and keep it in a safety deposit box.
You would still need the flashdrive password to get into the encrypted USB drive but you could keep that elsewhere.
A couple of things;
1) In addition to you being able to get to it you would also need to have a way for other heirs to get to it if you are not around then and they will need to know that it exists.
2) Backups and USB drives will occasionally go bad especially if they are stored for a long time so you need to have multiple ways to get the information.
3) If you keep the backup in your house where the computer is that will not work if the house burns down.
4) If you would not buy the Bitcoin today then why not cash it out and invest the money?
Re: Bitcoin in the event of owner death
Thanks so much Watty. That certainly gives me a lot to think about. I really need to be more informed about my husband's things in case he dies or goes into a coma. I don't even know if his backups are to a cloud or personal drive, let alone how to access it.
The Bitcoin amount is small (I don't know how much but it's not much) and it cost nothing because he mined it long ago with equipment he already had, that he doesn't feel like there's much point of going through the selling process. He's happy to see where it goes out of curiosity.
The Bitcoin amount is small (I don't know how much but it's not much) and it cost nothing because he mined it long ago with equipment he already had, that he doesn't feel like there's much point of going through the selling process. He's happy to see where it goes out of curiosity.
Re: Bitcoin in the event of owner death
For readers who may not be familiar with what to in case of a spouse's death, please see the "Further reading" section in this wiki article: Estate planning. If there are any questions, please ask for assistance in the Personal Finance forum.
sawhorse - You'd be surprised how much a "few" bitcoins are worth. Why don't you make a project of trying to sell them now, then use the money to splurge on something fun? It might pay for a new computer or a really nice meal.
Your husband may feel overwhelmed on the selling process because he's unsure of what to do. That's not a problem, as we've got a ton of experts who can help. If you don't know how to sell them, just ask in the personal investing forum.
If you can't access the bitcoins now, you never will and nothing was lost.
Your computer backup / restore questions still need to be answered. The best time to take care of this is now, while it's still working.
sawhorse - You'd be surprised how much a "few" bitcoins are worth. Why don't you make a project of trying to sell them now, then use the money to splurge on something fun? It might pay for a new computer or a really nice meal.
Your husband may feel overwhelmed on the selling process because he's unsure of what to do. That's not a problem, as we've got a ton of experts who can help. If you don't know how to sell them, just ask in the personal investing forum.
If you can't access the bitcoins now, you never will and nothing was lost.
Your computer backup / restore questions still need to be answered. The best time to take care of this is now, while it's still working.
Re: Bitcoin in the event of owner death
Why not store the private keys in password software such as lastpass or 1password? You said it's a "small amount" of bitcoin, so depending on how much it might not be worth taking too many measures to protect the keys. For example, you can print the private keys on a sheet of paper and slip that paper anywhere in your house that a thief wouldn't find. Even if a thief did find the paper, how would he/she know they are public/private bitcoin keys if you don't actually annotate the paper as being bitcoin?
I wouldn't overcomplicate it. Print the keys and stash them in a book on a shelf, or in a filing cabinet somewhere or use password software that you both can access.
I wouldn't overcomplicate it. Print the keys and stash them in a book on a shelf, or in a filing cabinet somewhere or use password software that you both can access.
Re: Bitcoin in the event of owner death
Write the keys down. Do not include any information that alluding to the fact of what they actually mean or go to. I could give you a full list of my passwords, but if you don't know what they go to they are useless. Stop overthinking it.
I did this with my safe combination. I gave it to an individual, written on the back of my business card. They know what it is for, but to anyone else it is just a string of numbers. Also without physical access it is useless.
I did this with my safe combination. I gave it to an individual, written on the back of my business card. They know what it is for, but to anyone else it is just a string of numbers. Also without physical access it is useless.