This case highlights the importance of leaving cryptocurrency access details in a Will.

On the 9^th December 2018, Gerald Cotten died unexpectedly at the age of 30. Gerald was the Chief Executive Officer of QuadrigaCX; a Canadian cryptocurrency exchange platform which allowed the trading of Bitcoin, Litecoin and Ethereum.

According to court documents, Gerald Cotten had sole access to the digital wallets containing more than 180 million Canadian dollars (£105 million) belonging to the company’s 115,000 customers. This has resulted in QuadrigaCX being unable to pay their subscribers.

The company’s operation was run from one main computer, owned by Gerald Cotton. Nobody else was aware of the computer password or recovery key. Gerald Cotton’s widow, Jennifer Roberston, claims she did not have any involvement in the business whilst her husband was alive.

QuadrigaCX closed its operation at the end of January 2019 and Jennifer Robertson filed for creditor protection on behalf of the company. In February 2019, the Supreme Court of Nova Scotia issued the Order and appointed accountancy firm Ernst & Young to oversee the search for the missing funds. 

This case highlights the extreme consequences of not leaving suitable arrangements for the recovery of cryptocurrency. It has not just affected the loved ones of the deceased but it has impacted the company’s 115,000 customers, who at this stage remain unable to access their cryptocurrency investments. We are reminded again that regardless of wealth, age or health, it is crucial that people understand the importance of planning ahead. 

Writing a Will can ensure that your estate, including any cryptocurrency you own, is distributed according to your testamentary wishes. For help and advice in making your Will, please contact us. 

Ashton Grace – Specialists in Peace of Mind