Imagine a scenario where a well-known individual holding a substantial amount of Bitcoin passes away.
In such a case, the assets in the deceased person’s private wallet, including their BTC holdings, could be lost forever unless someone gains access to the passkeys.
Nevertheless, in a recent interview, MicroStrategy chairman Michael Saylor brought up the idea of obliterating Bitcoin keys posthumously, ensuring the irretrievability or loss of the associated BTC.
Saylor even characterized the act of destroying private keys after death as a proportional contribution to all other Bitcoin holders.
This hints that Saylor might be considering executing such a plan with his Bitcoin holdings upon his demise.
Significance of Destroying Private Keys for Bitcoin Wallets
Saylor’s advocacy for the destruction of private keys stems from the genuine scarcity of the digital currency. Despite Bitcoin having a fixed maximum supply of 21 million coins, a significant amount is permanently lost over time.
This loss occurs chiefly through forgotten access keys or the decease of wallet owners.
The disappearance of these coins bolsters the value and minimum price of Bitcoin since they will never be transacted again in the future. This effectively heightens Bitcoin’s scarcity and value in the long run.
The CEO of MicroStrategy’s remarks evoke the spirit of Bitcoin originator Satoshi Nakamoto, whose wallet contains 1 million Bitcoins that were mined in the network’s early days.
These BTC have remained untouched ever since the enigmatic figure presumed to be Bitcoin’s creator vanished from the scene.
While there were speculations linking Hal Finney to Satoshi Nakamoto, he refuted these claims before passing away in 2014.
Some still speculate about Finney’s potential role as Bitcoin’s creator, given his background as a software developer and cryptographer.
This conjecture partly arises from his early involvement in the network, as Finney received the first BTC ever sent via the Bitcoin blockchain.
Considering the untouched 1 million BTC, if more Bitcoin tycoons adopt a similar stance, the minimum price would continue to rise.
This escalation implies that the remaining Bitcoins exchanging hands online could appreciate further in the future.
Currently, Saylor possesses 17,732 BTC, valued at over $1.7 billion based on the current market rates. There are fewer than 30 confirmed Bitcoin billionaires according to the latest information available.
Saylor expressed his desire to leave behind a significant impact through his role in fostering institutional adoption of Bitcoin.