Changpeng Zhao proposes a “fund inheritance” function for crypto platforms

The founder of Binance He claimed that it is necessary that crypto platforms have inheritance testaments and mechanisms at the time of user deaths, to deliver funds to family members and/or specific people.

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• CZ urges the crypto industry to implement inheritance systems on digital assets.
  
• More than USD $ 1 billion are lost annually due to accidental deaths.
  
• Binance Enter function to designate emergency contacts and heirs.
• Other exchanges have their protocols, but there is no consensus around the mechanisms to be used.

The co -founder and former CEO of Binance, Changpeng Zhao (CZ), has publicly proposed that cryptocurrency platforms implement a digital inheritance function. The initiative seeks to address an increasingly relevant problem: The fate of digital assets when their owners die without leaving clear instructions.

In a publication made on the social network X, CZ said: “Every platform should have a ‘testament’ function so that, when someone is no longer, their assets are distributed according to previously established proportions.”

这个话题大家平时都不想提 ， 但目前人还不能永生。每个平台都应该有个 “遗嘱功能” ：不在的时候 ， 自己的资产按照指定的比例分到几个指定的账号。法律监管条款里也应该允许未成年的小孩也能有账号（可以不允许交易 ， 但可以收款）。

This is a topic People Avoid, but the fact is, Humans Cannot Live … https://t.co/rjaukcjp4a

– CZ 🔶 BNB (@cz_binance) June 19, 2025

The comment arose in response to a conversation initiated by the user Cryptobravehq, a web community builder, who recalled that in April he had alerted about the loss of more than USD $ 1 billion in cryptocurrencies every year due to unexpected deaths.

Crypt and inheritance: a legal and technical vacuum

According to Cryptobravehq, many cryptocurrency users do not share with their families key details about their digital assets, such as the amount of tokens or the platforms they operate. As a result, when these people die suddenly, their accounts are inactive and the funds end up retained by the exchanges.

CZ added that Regulators should also allow minors to have cryptocurrency accounts with the ability to receive, but not trade. In this way, children of deceased users could inherit assets legally.

“Inheritance is a delicate issue, but every person with assets on a platform will eventually need this function,” The founder of Binance stressed.

Binance Respond with emergency function and inheritance

June 12, Binance He announced a new tool that allows its users to designate emergency contacts and heirs. The function is activated if an account remains inactive during an extended period, which may indicate the user’s death.

Once the inactivity threshold is fulfilled, Binance It communicates with previously defined emergency contacts. If these manage to verify the identity and situation, they can initiate the process of inheritance claim of digital assets.

This measure represents a step forward in digital patrimonial planning, offering users a more accessible and automated way to protect the legacy of their crypto investments.

While Binance Automates this process, other industry actors adopt more conventional approaches. Coinbase, For example, It requires that the heirs present death certificates and physical wills. It does not currently offer functions within the application to manage beneficiaries.

Bitgo, On the other hand, it resorts to more technical configurations such as multiple signature wallets, cold storage and customizable access controls. These solutions require legal agreements with third parties to enable asset transfer.

While each company adopts its own strategy, the growing concern for digital inheritance shows the need for more standardized and accessible solutions.

Written article with the help of an AI content editor, edited by Angel Di Matteo / Diariobitcoin

Original image of Diariobitcoin, created with artificial intelligence, for free use, licensed under public domain.

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