What happens to your crypto when you die?
Unless someone knows it exists and can get into it, your crypto can be lost for good. Here's what happens in the UK, and how to make sure it reaches your family.
The short answer
In law, crypto is part of your estate, just like money in the bank or a house. Since the Property (Digital Assets etc) Act 2025, UK law is clear that it counts as property. It passes under your will, or under the intestacy rules if you don't have one.
The problem is practical, not legal. A bank has your name, your address and a process for dealing with death. Crypto often has none of these. If nobody knows which wallets or exchanges you used, or how to open them, your family may never get it.
Why crypto gets lost
- Nobody knows it's there. There are no paper statements. Families often find out about crypto months later, if at all.
- Nobody can open the wallet. If you keep crypto in your own wallet (such as a Ledger, Trezor, MetaMask or Phantom), the only way in is the recovery phrase, usually 12 or 24 words. Without it, nobody can move the funds. Not your family, not a court, and not the wallet company.
- The phone or laptop is locked. Wallet apps and exchange logins often sit behind a passcode and two-factor codes on a device no one else can unlock.
- Instructions are too technical. Even when someone leaves notes, executors who've never used crypto often don't know what to do with them.
Exchange accounts vs your own wallet
Where you keep your crypto makes a big difference.
On an exchange (like Coinbase, Kraken or Binance), the company holds the crypto for you. Your executor can usually claim it by sending the exchange a death certificate, the grant of probate and their own ID. Coinbase, for example, has an executor claim form for this. The catch is that your executor has to know the account exists first.
In your own wallet, there's no company to contact. Whoever has the recovery phrase controls the crypto. If it's lost, the crypto is lost.
Never write your recovery phrase into your will. A will becomes a public document once probate is granted, so anyone could read it. Instead, keep the phrase somewhere safe and record where it is.
Five steps to protect your family
- Make a list of everything you hold. Every exchange account and every wallet, including old ones you've stopped using.
- Store each recovery phrase safely. Written on paper or metal, in a safe, a safety deposit box or a sealed envelope with your solicitor. Not in a photo, email or cloud note.
- Record where things are, not the secrets themselves. For example: "Ledger in the home safe; recovery phrase in a sealed envelope with Brown & Co Solicitors."
- Tell your executor the plan exists. They don't need the details today, just where to find them when the time comes.
- Mention your digital assets in your will. Your solicitor or will-writer can add wording so your executor has clear authority to deal with them.
What about tax?
Crypto counts towards the value of your estate for Inheritance Tax. Your executor will need to value it in pounds on the date of death. See our guide: Does crypto count for Inheritance Tax?
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This guide is general information about the law in England and Wales, not legal or tax advice. For advice about your own situation, speak to a solicitor.