Lost inheritance? Cryptocurrency inheritance needs a 'master plan' now

If you own cryptocurrencies, you need to look beyond simple security and plan for inheritance. This is because digital assets worth tens of millions to hundreds of millions of won, such as Bitcoin (BTC), Ethereum (ETH), and non-fungible tokens (NFTs), are disappearing every year after the owner's death. Unlike bank accounts, cryptocurrencies become unrecoverable the moment you lose your private key or seed phrase. Without a proper inheritance system, assets can become “lost money” rather than an inheritance.

Bitcoin loss cases are already becoming a warning. According to research firm River, about 1.57 million bitcoins remain permanently inaccessible, accounting for about 7.5% of the total supply. This amounts to about 137.4 billion won (assuming 1 BTC = 97,000,000 won). The risk of losing such large amounts of cryptocurrency due to a simple mistake cannot be overlooked.

To implement legal and secure cryptocurrency inheritance, a systematic asset list, clear guidelines for access rights, and a trusted inheritance executor must be in place. However, if such information is revealed in a “public will”, it can pose a serious security threat. Therefore, privacy protection should be considered using encrypted files, sealed documents, or decentralized ID solutions.

Another key is to balance storage methods. Storing all assets on centralized exchanges or sharing via QR codes leaves room for security incidents. It is ideal to wisely combine custody methods with self-storage solutions. Especially considering heirs unfamiliar with cryptocurrencies, technical hurdles should also be lowered.

Existing will systems are not suitable for digital assets. An inheritance system that requires understanding of various coins, wallet structures, and network characteristics cannot be completed with traditional law alone. It is the responsibility of the inheritor to leave clear and practical guidance and procedures so that the heir can actually use the cryptocurrency.

Ultimately, cryptocurrency inheritance is an area that can only be completed by combining technical knowledge with trust-based pre-planning. To prevent billions of won in assets from being omitted due to a single moment of carelessness, now is the time to review your own cryptocurrency inheritance master plan.

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