Heirs first need to secure access (seed phrases, hardware wallets, exchange accounts) without moving funds carelessly, then draw up an inventory of all wallets and their value at the date of death for the estate and tax filings. Before the crypto can be sold or transferred to a bank, the heirs usually need to show both their entitlement (a certificate of inheritance, grant of probate or equivalent document) and the origin of the deceased's crypto. A signed report reconstructing holdings and origin from on-chain data serves all three purposes: estate, tax and bank.
Securing access
Crypto in self-custody is controlled by whoever holds the private keys or seed phrase. If the deceased left them, keep them offline, limit who sees them and agree among heirs (or with the executor) before any transfer. Crypto held on an exchange is different: the exchange will normally ask for a death certificate, proof of the heirs' entitlement and identification before releasing funds.
- Do not type seed phrases into websites or apps you do not know; inheritance cases attract scams.
- Avoid moving all funds to a new wallet before the inventory is done: the original addresses are part of the evidence.
Inventory and valuation
The estate inventory should list each wallet and account, the tokens held and their value at the date of death, with the price source stated. That value is usually the reference for inheritance or estate tax where it exists, and the starting point for the heirs' own tax position afterwards, for example as acquisition cost or as wealth to be declared. Tax rules differ greatly: some countries tax the estate, others tax each heir by degree of kinship or region, and some have no inheritance tax at all. Where heirs live in different countries from the deceased, more than one system may apply, so your tax advisor or notary should confirm the treatment.
Proving origin to the bank
When heirs want to sell and receive money at a bank, the bank must check both the inheritance and the source of the crypto itself. The deceased may have bought bitcoin years ago with no surviving records. A blockchain reconstruction can show when the coins reached the deceased's addresses, from what kind of source, and whether they have been in contact with high-risk services.
If assets were never declared
Heirs sometimes discover that the deceased never declared the crypto. Several countries give heirs a specific route to settle the deceased's past taxes, often on better terms than an ordinary disclosure; Switzerland, for example, has a simplified back-tax procedure for heirs. It is better to deal with this through the heirs' tax advisor before approaching a bank, because the bank will ask about it.
How Advisorn helps
Advisorn Forensics inventories the deceased's wallets, values them at the date of death and reconstructs their origin from on-chain data, in a signed report usable by the notary, the tax advisor and the bank, wherever the estate is handled. The managing partner, a lawyer, can liaise with the executor and the heirs' advisors.
Example: Art. 153a DBG and Art. 53a StHG (Switzerland, simplified back-tax procedure for heirs)
Updated November 2026 · General information, not legal or tax advice on your specific case.