The Bitcoin Policy Institute, or BPI, has filed a motion to intervene in a New York state court case that challenges whether long-dormant self-custodied Bitcoin can be treated as abandoned property. The case covers 39,069 inactive wallets holding about 3.7 million BTC, with an estimated value of roughly $260 billion.
BPI argues that ownership of self-custodied Bitcoin does not lapse simply because there have been no on-chain transfers for a long period. The group’s filing pushes back against a theory that could redefine property rights for holders who keep assets in wallets without moving them for years.
The Digital Chamber, a blockchain advocacy organization, also backed that position by filing an amicus brief on July 6. According to the report, if the court sides with the plaintiff, the decision could threaten property rights tied to self-custodied wallets more broadly. The development was reported by CryptoBriefing and cited by Techub News.
The Bitcoin Policy Institute (BPI) has filed a motion to intervene in a New York state court case opposing the idea that long-dormant self-custodied Bitcoin should be treated as abandoned property.
The case involves 39,069 inactive wallets holding about 3.7 million BTC, valued at roughly $260 billion.
BPI said self-custodied Bitcoin does not lose its ownership status simply because it has not moved on-chain for a long time. The Digital Chamber, a blockchain advocacy group, also filed an amicus brief on July 6 in support of that position.
If the court backs the plaintiff’s request, the ruling could threaten property rights connected to all self-custodied wallets, according to CryptoBriefing.
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