Cryptocurrency & Valuables After a Death

The hardest category. Cryptocurrency held in self-custody has no customer-service reset: whoever holds the recovery phrase controls the funds, and without it the coins may be unrecoverable forever. Physical valuables (jewelry, art, collections, safe-deposit contents) are simpler but easily overlooked. HeirloomFile stores where the clues live, never the keys themselves.

When to use this guide

Use this when the deceased held cryptocurrency, NFTs, or physical valuables that need to be found, secured, and transferred.

What you'll need

• HeirloomFile entries telling you which exchanges and wallets existed and where the recovery materials are stored (the entry is a map, not a key)
• Death certificate and estate authority for anything held on centralized exchanges
• Physical access (or the map to wherever recovery phrases and valuables are stored)

Step-by-step: cryptocurrency

1. Find the holdings.
   • Centralized exchanges (Coinbase, Kraken, Binance, among others): contact their support with the death certificate and estate documents. Exchanges have formal processes to transfer or liquidate a deceased customer's account.
   • Self-custody wallets (hardware wallets, software wallets): these are only accessible with the recovery phrase or seed, or the device PIN. If the deceased stored the seed somewhere (a safe, a deposit box, with a trusted person, or left a clue in HeirloomFile), that location is the key. If nobody can find it, the funds are likely lost. Say this plainly; do not raise false hope.
2. Secure what you find. Move any located crypto to a wallet the estate controls, or to a reputable exchange account in the estate's name, before doing anything else.
3. Establish value for the estate. Determine fair-market value at the date of death for probate and tax filings. Crypto is an asset the estate must report.
4. Do not rush to sell. Markets move; the executor's job is to preserve value and follow the estate's instructions, not to panic-sell at the worst moment. Get professional advice for large holdings.

Step-by-step: physical valuables

1. Inventory. Jewelry, watches, art, antiques, coin and stamp collections, and safe-deposit contents. Photos plus a list with estimated values, stored with the estate records.
2. Secure them. Move valuables to a safe location (a bank box in the estate's name, or with the executor) and add them to the home insurance or a fine-arts policy. Standard homeowner policies cap coverage for jewelry and art.
3. Appraise for probate and insurance. A professional appraisal serves both the estate inventory and the insurance valuation.
4. Distribute per the will or family agreement. Sentimental items cause more family conflict than money. A written agreement on who gets what, made early, prevents it.

Common pitfalls

• A self-custody wallet with no accessible recovery phrase is unrecoverable, permanently. This is why HeirloomFile's red line is storing a pointer (for example, "seed phrase in home safe, envelope labeled 'Do not open except...'") rather than the phrase itself: the owner keeps custody, the family gets a map.
• Telling a grieving family member "we will just reset the password". There is no reset for self-custody.
• Reporting crypto at the wrong value (sale price instead of date-of-death value), creating tax and probate errors.
• Overlooking digital valuables with real worth: domain names, high-value social handles, in-game items, loyalty points.

⚠️ Verification note: exchange deceased-customer processes and crypto tax treatment vary by jurisdiction and change frequently. For estates with meaningful crypto or valuables, consult a professional familiar with both estate law and digital assets.

A HeirloomFile entry for crypto stores only the pointer: which wallets exist, where the recovery materials live, who to contact. Never the phrase. Start the map.