Data as of Q3 2026
Bitcoin inheritance checklist
As of Q3 2026, the Virtuse Tax module’s inheritance checklist has six items: letter of instruction, geographic key separation, heir awareness, 2-of-3 multisig, a recovery drill, and documented accounts. A single seed is a single point of failure. Virtuse never holds your keys. Educational checklist, not legal advice.
The items and wording come from the live Tax module checklist. Educational only, not legal advice.
Six checks
Do your heirs have written instructions (a "letter of instruction")?
A document that says what exists, where things are, and what to do – without containing any seed words itself.
Write a letter of instruction: inventory, locations, contacts – never seed phrases. Store it with your will or attorney.
Are your keys geographically separated?
Never keep all backups in one home. Fire, theft or flood should never be able to destroy your access.
Move one key or backup to a second location: a bank vault, a trusted family member or a professional key agent.
Does at least one heir know your bitcoin exists and where to start?
Bitcoin discovered years late, or never, is the most common inheritance failure.
Tell one trusted person that your bitcoin exists and whom to contact. Full details belong only in the letter of instruction.
Do you use multisig (2-of-3) instead of a single seed phrase?
A single seed is a single point of failure – for you and for your heirs.
Upgrade to 2-of-3 multisig: you hold two keys, and a partner (e.g. an Unchained-style vault) or an attorney holds the third.
Have you tested recovery with a small amount?
An untested inheritance procedure is a hypothesis, not a plan.
Do a full recovery drill on a small UTXO, with your heir watching, once a year.
Are exchange accounts, loans and automated plans documented?
Custodial balances, bitcoin-backed loans and DCA bots can be lost with forgotten logins.
Maintain an inventory of platforms, account IDs and how balances should be claimed – inside your letter of instruction.
Country tax still applies to heirs who later sell. Start with the 13-country tax hub.
FAQ
Should a letter of instruction contain seed phrases?
No. The Tax module’s checklist says the letter lists inventory, locations and contacts – never seed phrases. Store it with your will or attorney.
Why is 2-of-3 multisig on the checklist?
A single seed is a single point of failure for you and for your heirs. The module scores 2-of-3 with two keys held by you and one by a partner or attorney.
Does Virtuse custody keys for heirs?
No. Virtuse never holds your keys. Inheritance is handled by your attorney, your heirs and any vault partner you choose.
How is the readiness score weighted?
The live Tax module assigns points (letter 20, separation 20, heir awareness 15, multisig 20, tested recovery 15, accounts 15). This page lists the same items without scoring them.
Score this checklist in the Tax Agent →