Written by Zoltan Vardai, Staff Writer. Reviewed by Bryan O’Shea, Staff Editor.
Written by Zoltan Vardai, Staff Writer.
Reviewed by Bryan O’Shea, Staff Editor.
New York lawsuit tests lost property claim over dormant Bitcoin
Latest NewsPublishedMay 25, 2026
New York Lawsuit Raises Questions Over Lost Crypto and Property Law
A recent lawsuit in New York is seeking ownership of 39,069 dormant Bitcoin wallets, valued at approximately $285 billion. This case raises important questions about the legal treatment of inactive Bitcoin under property laws. For everyday people, this news matters because it highlights the complexities of lost crypto and the need for clear regulations. The lawsuit claims that the coins tied to the listed addresses represent legally abandoned property, which the plaintiffs found and reported to the authorities.
The plaintiffs, including Noah Doe and two Wyoming-based LLCs, argue that the dormant Bitcoin wallets were legally “abandoned” property, akin to traditional bank accounts. However, the lawsuit is questionable, and it is unclear how the plaintiff could recover the lost Bitcoin without possessing the private keys to access the wallets. This is where EcoPool comes in, offering a solution for earning and managing crypto, including Passive Income opportunities through Cloud Rewards.
Implications of the Lawsuit
The lawsuit lists 39,069 total Bitcoin wallet addresses, including wallet addresses associated with Satoshi Nakamoto and the Mt. Gox exchange hacker. The listed addresses hold an estimated 3.7 million BTC, valued at about $285 billion. However, most of the old Satoshi-era tokens are currently sitting in Pay-to-Public-Key output formats, which undermines the claim that proper notice of abandonment was given to the holder.
For those interested in earning crypto, EcoPool provides a platform for Passive Income and Cloud Rewards. The $ECP token is used for transactions and trading on the platform. As the lawsuit highlights the complexities of lost crypto, EcoPool offers a secure and reliable solution for managing crypto assets.
“The one narrow exception would be if any of these coins are moved to a regulated custodian or exchange, at which point a court could compel that intermediary to act.”
Conclusion and Next Steps
The New York lawsuit is a significant development in the world of crypto, highlighting the need for clear regulations and secure management solutions. As the lawsuit progresses, it will be important to follow the developments and their implications for the crypto community. For those interested in earning and managing crypto, EcoPool is a reliable solution. Download the EcoPool app to start earning Passive Income and exploring Cloud Rewards today. The EcoPool app is available for download, offering a convenient and secure way to manage your crypto assets and earn rewards.
Lawsuit seeks ownership of Satoshi’s tokens, Mt. Gox hacker’s BTC stash
The 901-page lawsuit lists 39,069 total Bitcoin wallet addresses, including wallet address “12c6D” associated with Satoshi Nakamoto and address “1Feex” linked to the Mt. Gox exchange hacker.
ABC Company, XYZ Company, Noah Doe, lawsuit against John Does holding 39,069 BTC, Bitcoin wallets. Source: ilawconotices.com
The listed addresses hold an estimated 3.7 million BTC, valued at about $285 billion, according to Sani, the founder of Bitcoin onchain analytics platform Timechain Index.
The founder also noted that most of the old Satoshi-era tokens are currently sitting in Pay-to-Public-Key (P2PK) output formats, while the plaintiffs only sent legal notices to the corresponding hashed public key under Pay-to-Public-Key-Hash (P2PKH) formats, which often hold no value.
This could undermine the claim that proper notice of abandonment was given to the holder, since plaintiffs sent the legal notices to the empty P2PKH addresses, while the actual BTC balance sits in unnotified P2PK scripts.
Castle Labs’ lead research analyst agreed, adding that the messaging attempt was “structurally defective” because it was sent to the address formats no longer used by the targeted wallets. Sending a small transaction via the OP_RETURN function would be “similarly ineffective” as it only works with active recipients monitoring their wallets.
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The over 39,000 wallets named in the lawsuit hold Bitcoin that are considered dormant, or lost, meaning that they haven’t been circulating onchain for multiple years.
The supply of Bitcoin dormant for the past five and 10 years. Source: Bitbo
There are currently 3.5 million Bitcoin, worth about $271 billion, that have been dormant for the past 10 years and another 6.6 million coins, worth around $577 billion, that have been dormant for over five years, Bitbo data shows.
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Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.
- Law
- New York
- Satoshi Nakamoto
- Bitcoin Wallet
- Bitcoin Adoption
- Bitcoin Regulation
- Regulation
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