Bitkey's inheritance feature for seamless legacy bitcoin transfers

Bitkey, the self-custody wallet built by Block Inc., announced the launch of an inheritance feature for customers around the world that will start to roll out next month. It will be available to all Bitkey customers  in January 2025. 

While people who hold the keys to their bitcoin have full control of their money, today’s solutions don’t offer a simple way to pass their bitcoin on to the next generation. Today, those who self-custody their bitcoin need to glue together multiple products, ask beneficiaries to remember long passwords, or leave complicated instructions that beneficiaries may or may not be able to follow. 

Now, Bitkey is introducing a safe and easy way for customers to make sure their bitcoin moves seamlessly into the hands of their loved ones. Access to Bitkey’s inheritance plan will be initially included with the purchase of every Bitkey hardware device — including existing Bitkey customers — and it will make it possible for the funds held in a Bitkey wallet to be transferred to a designated beneficiary after the passing of a Bitkey owner. 

"With this inheritance solution, we are offering customers a safe and simple way for them to pass their assets onto the next generation," said Jason Karsh, Business Lead for Bitkey. "Bitcoin is a multi-generational asset, and we think Bitkey should be multi-generational, too. We designed inheritance to be simple for beneficiaries to transfer, access, and manage their inheritance when the time comes.”

How Bitkey’s inheritance works?
To set up inheritance, a Bitkey customer, or benefactor, can invite a beneficiary by initiating a message through the Bitkey app, which provides them with an invite link. As soon as the beneficiary accepts the invitation, the inheritance plan will be created. Beneficiaries can be removed or updated at any time by the benefactor, and will have no information about the amount of Bitcoin they are inheriting  — as they are not able to view, access or control their benefactor’s Bitkey wallet.

A beneficiary can initiate an inheritance claim at any time. To protect against an accidental or fraudulent claim, there is a six month waiting period that must successfully complete before a beneficiary can access the funds in their benefactor’s Bitkey wallet. 

During this time, Bitkey will send benefactors regular alerts and notifications letting them know that a claim has been started. This provides them with an opportunity to cancel it before the waiting period ends.  Initially, the inheritance solution will be limited to one beneficiary and require beneficiaries to set up a Bitkey wallet, which includes the hardware device and the app.

Bitkey was created to widen access to self-custody and to empower people around the world to truly manage their bitcoin in a way that’s simple  and secure. It was designed around the idea that simplicity is the best security, meaning no long passwords that are difficult to manage and easy to lose, a simple onboarding process, and a product that works. 

Bitkey has recently been included in TIME’s ‘Best 2024 Inventions' list, in the category of Privacy & Security, among a select group of groundbreaking products that are setting the tone for the future and making the world better, smarter, and more inclusive.