Binance has announced the launch of a new inheritance function allowing users to designate beneficiaries for their crypto holdings after extended inactivity. This initiative aims to address critical issues in securing digital assets.
Overview of the Inheritance Feature
The feature, named 'Will Function,' was presented on June 12 and proposed by Binance founder Changpeng Zhao. It aims to prevent asset losses in case of the owner's death or incapacitation by safely transferring digital assets to heirs. Zhao emphasized that 'people avoid this topic, but it is important to remember that life is finite for long-term asset security.'
Details on Setting Up the Function
Users can appoint emergency contacts who will be notified via email and SMS after a set period of inactivity. If inactivity continues, the inheritance process is triggered. The emergency contact must provide documents such as a death certificate and ID. After reviewing the claim, Binance’s team transfers the assets to the beneficiary's account. This feature currently supports Bitcoin, Ethereum, and Binance Coin.
Community and Expert Reactions
The update from Binance has received positive feedback from industry participants, including Gate.io founder Dr. Han, who remarked on the significance of such functions in today's environment. He also emphasized that having an inheritance system in the crypto ecosystem is a move towards more responsible digital asset management practices.
Binance's inheritance function responds to the growing demand for crypto estate planning solutions and simplifies the asset transfer process for users worldwide, providing a reliable alternative to traditional legal tools.
