As the crypto industry matures, safeguarding digital assets posthumously has become a critical concern for investors and platforms alike. Binance founder Changpeng Zhao (CZ) recently called for the implementation of a dedicated
will function
across crypto platforms to facilitate asset inheritance after death.
The Need for Crypto Inheritance Solutions
###CZ’s Call for a Will Function in Crypto Platforms### CZ stated on X that every platform should have a
will function
enabling users to designate how their digital assets are distributed upon their passing. He emphasized, “Humans cannot live forever,” and highlighted the importance of planning for inevitable mortality. This initiative aligns with Binance’s recent rollout of an emergency contact and inheritance feature, allowing users to appoint heirs who can claim assets if they become inactive or pass away.
Binance's new feature allows notifications to emergency contacts after inactivity, streamlining inheritance claims. Such mechanisms aim to reduce unclaimed assets—estimated at over $1 billion annually—caused by untimely deaths and absent planning.
Community Response and Industry Perspective
Community members welcomed Binance’s updates, with CryptobraveHQ praising the approach as “really thoughtful,” recognizing the importance of proper estate planning in crypto. Uniswap12 pointed out that tokens often encompass intangible values like social influence and community engagement, suggesting account transfer capabilities akin to passing down phone numbers. Others, like Ghazi and Binn, underscored that inheritance features foster greater decentralization and security in digital wealth management.
The Growing Need for Crypto Will Planning
Experts stress that estate planning in crypto is often overlooked, especially among younger investors aged 27–42. Irina Heaver, a Dubai-based lawyer, highlighted that many families struggle to recover assets after loved ones’ deaths due to lack of formal arrangements. She advocates for detailed wills with technical instructions on accessing digital wallets and assets.
Challenges and Recommendations
Wills should specify access methods, private keys, or recovery procedures rather than merely mentioning assets' existence. This technical detail ensures heirs can efficiently claim their inheritance without legal or technical obstacles. Industry observers agree that integrating such features into crypto platforms could significantly improve asset transfer security and reduce asset loss risks.
Implications for the Web3 Ecosystem
As decentralized finance (DeFi) and NFT markets grow, seamless inheritance solutions become vital for user confidence and mainstream adoption. Incorporating will functions aligns with broader efforts toward decentralization and user-centric asset management. The industry’s recognition of inheritance as a core component marks a pivotal step in making digital wealth transfer reliable and secure.
The conversation around crypto estate planning reflects an evolving understanding of digital asset management’s complexities, emphasizing the need for innovative solutions like Binance’s proposed will function.
