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CZ Calls for ‘Will Function’ to Secure Crypto Legacy Amid Inheritance Concerns
- Binance founder CZ urges crypto platforms to introduce a 'will function' for reliable inheritance systems.
- He emphasizes the need for assets to be distributed according to designated proportions upon the account owner's passing.
- CZ also advocates for minors to hold crypto accounts for receiving payments but not trading.
- A Web3 community builder initially raised the issue of over $1 billion in crypto assets being transferred to exchanges yearly due to accidental deaths.
- Binance responded with an 'emergency contacts and inheritance heir' feature on June 12 to address user concerns.
- This feature allows users to designate emergency contacts and start an inheritance claim process in case of account inactivity or death.
- Competitors like Coinbase and BitGo use traditional methods involving legal documents or multi-signature wallets for estate planning.
- Binance leads in Proof of Reserves reporting, maintaining a reserve coverage level above 100%.
- CZ believes the 'will function' is crucial for everyone with assets on a platform.
- Inheritance of digital assets is a sensitive issue necessitating proper mechanisms for asset distribution post-owner's demise.
- Binance's initiative aims to provide users with the means to plan for the transfer of their crypto holdings.
- Regulators are encouraged to permit minors to have crypto accounts for legal asset transfers.
- The 'will function' is seen as an essential feature in the growing digital assets space.
- Binance's POR reporting and inheritance feature aim to enhance transparency and address inheritance concerns.
- Other platforms like Coinbase and BitGo also implement solutions for crypto estate planning through different methods.
- CZ's call for the 'will function' underscores the importance of addressing inheritance concerns within the crypto industry.
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