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Spanish media reported that blogger and Bitcoin billionaire Mercia Popescu, considered one of the world’s largest cryptocurrency owners, died in a drowning accident off the coast of Costa Rica. Popescu, 41, is said to own more than $ 1 billion in bitcoins.
Now everyone in the cryptocurrency world is wondering what will happen to this crypto wealth that they own.
This is not the first time that a significant amount of Bitcoin has been lost due to the death of the owner, loss of password, accidental system errors or accidents. In 2019, the death of Gerald Cotten, the founder of Canada’s largest cryptocurrency exchange, was shocking when his wife told investors that the keys to clients’ private wallets worth $ 135 million in cryptocurrency was only in the possession of her husband.
In another incident, James Howells of the UK lost 7,500 bitcoins which he mined and stored on a hard drive, when he accidentally threw it away while cleaning his house in 2013. At current prices, this holding of bitcoin is worth around $ 255 million.
All of these cases re-discuss the issue of recovering cryptocurrency in the event of such incidents.
In essence, what makes crypto assets one of the most secure forms of assets is a “curse” as well. accessible by key “or a unique password, forever.
Nearly 4 million bitcoins, worth $ 30 billion, have been lost so far, according to Coincover, a cryptocurrency insurance and protection company. To solve this problem, cryptocurrency exchanges and wallet services have come up with solutions to help access cryptocurrency in the event of the owner’s death.
Bitcoin
For example, Coinbase, the largest cryptocurrency exchange, has developed the process of transferring crypto assets stored in its wallets in the event of an inheritance of an asset, upon presentation of the owner’s death certificate as well as their past. wills.
Likewise, UK-based Coincover has partnered with Palo Alto, California-based bitcoin storage company BitGo to offer Cryptocurrency Will. Other platforms are developing systems to redeem cryptocurrency under such unfortunate circumstances.
The tool is based on the company acting as the custodian of the backup key, where only in the event of the death of the investor, both companies can open the wallet and get the money back, giving potential heirs a card. of “notification” bearing a number. Therefore, people can benefit from investing in cryptocurrency after the death of a parent.
And while cryptocurrency platforms are still developing systems that make crypto assets redeemable in certain scenarios, without compromising security guarantees and control over crypto assets, Cryptocurrency Will offers a temporary solution until there are better systems.
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