What Happens to Your Crypto When You Die? 3.7 Million Bitcoin Are Already Lost Forever
What happens to your Bitcoin if something happens to you tomorrow — not in ten years, but tomorrow? Without a plan, your crypto doesn't go to your family. It stays on the blockchain forever — visible to everyone, spendable by no one. Analysts estimate that 2.3 to 3.7 million bitcoin — 11% to 18% of all the bitcoin that will ever exist — are already lost, according to Chainalysis research. Death is one of the ways coins get lost: an owner dies, and no one alive knows the seed phrase existed. This post explains what actually happens to crypto after death, what the tax rules do for your heirs, and the five-step plan that keeps your coins out of that number. Your Coins Don't Disappear. They Get Stuck. A crypto wallet holds keys, not coins. Your coins live on the blockchain. The wallet holds the private key that proves you own them, and the seed phrase — 12 or 24 words — that can rebuild that key on any device. Lose the key and the seed phrase, and the coins stay exactly where ...