Autark Advisory, Bitcoin succession
Custodial options solve inheritance by giving up control. Self-custody keeps control but turns inheritance into a gamble. Twelve criteria, six approaches, compared on the facts, including where our own approach is weaker.
Key Strong Partial Weak
| Criterion | Exchange or app custodyYou hold a claim on a platform | Spot Bitcoin ETFYou hold a fund share | Private bank custodyYou hold a claim on a bank | Single-key hardware walletYou hold one seed | Collaborative multisig serviceYou hold 2 of 3 keys; a vendor holds 1 | Autark Bitcoin Inheritance PlanOwner multisig, timelocked recovery, trust landing |
|---|---|---|---|---|---|---|
| Who can move the coins | ExchangeWeak.The platform. Your balance is a promise, not bitcoin. | ETFWeak.The fund’s custodian. Retail holders cannot withdraw coins. | Private bankWeak.The bank, under its own policies. | Single-keyStrong.You alone. | Collaborative multisigStrong.You, with your two keys. The vendor key is a backup. | Autark Bitcoin Inheritance PlanStrong.You alone. Only your own keys, held at separate sites, can sign during your lifetime. |
| Counterparty and insolvency | ExchangeWeak.Mt. Gox (2014) and FTX (2022) halted withdrawals. In 2023 a US court held Celsius Earn balances were estate property. | ETFPartial.Regulated and segregated, but you depend on issuer, custodian and broker. | Private bankPartial.Regulated, but continued access depends on the bank and its risk appetite. | Single-keyStrong.None. | Collaborative multisigPartial.Coins survive vendor failure; the inheritance workflow may not. | Autark Bitcoin Inheritance PlanStrong.None in life. Recovery holders cannot move coins before a timelock matures, enforced by Bitcoin’s consensus rules, not by a promise. |
| Single point of failure | ExchangeWeak.Account lock, compliance dispute or platform failure. | ETFPartial.The brokerage account. | Private bankPartial.The banking relationship. | Single-keyWeak.One seed. Lost, burnt or found means gone. Chainalysis (2020) estimated about 3.7m BTC appear lost. | Collaborative multisigPartial.Tolerates one lost key. | Autark Bitcoin Inheritance PlanStrong.Tolerates the loss of any two of five keys; if the owner quorum fails entirely, recovery paths take over. |
| Theft and coercion | ExchangeWeak.Account takeover, SIM-swap, platform hacks. | ETFPartial.Account fraud possible; no on-chain exposure. | Private bankPartial.Bank-grade controls; account fraud possible. | Single-keyWeak.Whoever finds the seed, or forces the PIN, owns the coins. | Collaborative multisigPartial.An attacker needs two keys. | Autark Bitcoin Inheritance PlanStrong.An attacker needs three keys in different jurisdictions. No single site holds enough. |
| If you are incapacitated | ExchangeWeak.Power of attorney must be accepted by the platform; often refused or slow. | ETFPartial.Broker power-of-attorney process; workable in its home jurisdiction. | Private bankPartial.Bank power-of-attorney process; jurisdiction-dependent. | Single-keyWeak.Frozen in practice, unless the seed was shared, which breaks security. | Collaborative multisigPartial.Vendor process with documentation; terms vary. | Autark Bitcoin Inheritance PlanStrong.Written protocol: certified incapacity, a preservation window, then settlement. Recovery hands control back. |
| Transfer on death | ExchangeWeak.Estate claim with the platform; needs court succession documents; often months. | ETFWeak.Brokerage estate process; probate or succession certificate required. | Private bankWeak.Accounts are typically frozen on death until succession documents are produced. | Single-keyWeak.Only if heirs find the seed and know what to do. No legal wrapper. | Collaborative multisigPartial.Vendor-assisted flow; usually still needs estate documents. | Autark Bitcoin Inheritance PlanStrong.The blockchain grants named holders factual access. Title passes to a trust-owned entity by operation of law and pre-executed contract, with no court grant needed to move the coins. |
| Speed of heir access | ExchangeWeak.Months, once succession documents are in hand. | ETFPartial.Months; the share is then transferred or sold. | Private bankWeak.Months, once succession documents are in hand. | Single-keyStrong.Immediate, if the seed is found and understood. | Collaborative multisigPartial.Weeks to months, per the vendor’s process. | Autark Bitcoin Inheritance PlanPartial.Depends on the refresh cycle: from almost immediately to roughly 12 to 15 months. |
| Public process and privacy | ExchangeWeak.Passes through the estate, under the law governing it. | ETFWeak.Passes through the estate. | Private bankWeak.Passes through the estate. | Single-keyWeak.Legally in the estate; practically invisible, so it may never be found. | Collaborative multisigWeak.Typically passes through the estate. | Autark Bitcoin Inheritance PlanStrong.Private settlement into a trust structure, documented with the heirs’ consent. Replaces slow public probate with a certain transfer. |
| Burden on heirs | ExchangePartial.Paperwork, no technical skill. | ETFPartial.Paperwork, no technical skill. | Private bankPartial.Paperwork, no technical skill. | Single-keyWeak.Seed handling, software and security, often while grieving. One mistake is final. | Collaborative multisigPartial.Guided, but some technical steps remain. | Autark Bitcoin Inheritance PlanStrong.Heirs touch no keys. A professional trustee and named holders run a procedure rehearsed on a test network first. |
| Portability across borders | ExchangeWeak.Access follows your residency; relocation can close accounts. | ETFWeak.Tied to broker and residency; relocation often forces a sale. | Private bankPartial.Depends on the bank’s appetite for your new residence. | Single-keyStrong.Works anywhere. | Collaborative multisigPartial.Vendor’s jurisdiction and service terms apply. | Autark Bitcoin Inheritance PlanStrong.Keys spread across jurisdictions; no single court or regulator reaches a signing quorum. |
| Clarity of legal title | ExchangeWeak.Defined by terms of service. | ETFStrong.Clear securities ownership. | Private bankStrong.Clear contractual position. | Single-keyPartial.Clear in principle, hard to prove in practice. | Collaborative multisigPartial.Split between you and the vendor contract. | Autark Bitcoin Inheritance PlanStrong.Trust deed, operating agreement and key holder agreement separate technical capability from legal authority. |
| What it asks of you | ExchangeStrong.Very little. | ETFStrong.Very little. | Private bankStrong.Very little. | Single-keyPartial.Safe storage of one seed. | Collaborative multisigPartial.A subscription and periodic key checks. | Autark Bitcoin Inheritance PlanPartial.One short annual refresh, done with our guidance. Key holders, trustee and documents are arranged for you. |
Most holders recognise their own column within a few rows. Fewer have tested what it does for their family on the day it is needed. The Snapshot maps your structure across five dimensions, custody and succession among them, in under five minutes. It is free and leads into a free 30-minute qualifying call with the person who would do the work.
Important information The Autark Bitcoin Inheritance Plan is a legal and technical structure, not a financial product. It does not remove risk, but reduces or relocates it. Heirs’ access depends on a timelock and may be delayed by up to roughly 12 to 15 months after the last on-chain refresh; the family’s liquidity needs for that period should be provided for separately. If the annual refresh is not carried out, recovery paths may become usable during the owner’s lifetime, and protection then rests on the key holders’ contractual obligations. The structure involves several keys, sites, documents and parties, each of which must be maintained. Its combination of timelocked recovery and trust settlement has not yet been tested in court, and heirs or authorities in other jurisdictions may challenge it. After death, the assets are held through a trust structure and depend on the trustee and protectors appointed. Set-up, trustee and professional fees apply, together with ongoing tax and reporting obligations. Autark Advisory takes no custody of client assets and holds no keys.
Scores reflect typical configurations; individual products and jurisdictions vary. Sources: In re Celsius Network LLC, US Bankruptcy Court S.D.N.Y., ruling of 4 January 2023; Chainalysis lost-bitcoin estimate (2020); BIP 68 relative timelocks. This comparison is general information, not legal or financial advice.
autarkadvisory.com/bitcoin-custody-compared · Autark Advisory FZ LLC · +971 506 213 144