Dutch Family Abandoned Traditional Financial Services and Keeps Its Fortune in Cryptocurrency
In 2017, a Dutch family decided to invest all their savings in Bitcoins and other cryptocurrencies, and store their wealth in hardware wallets in various countries.
Hardware wallets are a fairly popular method of storing crypto assets offline. Only the owner of such a wallet is responsible for the private keys. In case of theft or loss of these keys, the owner of the wallet will not be able to turn to anyone for help. But this is what attracted the Taihutt family to this method of storing crypto assets.
As the head of the family, Didi Taihutt, said in an interview with CNBC, he prefers to live in a decentralized world, where he has the responsibility to protect his capital.
In an interview, he also said that at the moment the family’s wealth is stored on six different wallets, hidden in different countries on four continents.
According to CNBC, 74% of the Taihutt family’s entire crypto portfolio is in hardware wallets, and the rest is on hot wallets for quick access and trading. In addition, Didi Taihutt does not use the services of banks or post offices, because he considers them too risky for fear of losing assets in the event of bankruptcy.
Castle Island Ventures general partner and Coin Metrics co-founder Nic Carter explained that if people want to keep their cryptocurrency out of the reach of the state, they just need to hold the private keys to such wallets directly.
“It’s like burying a gold bar in your backyard,” Carter added.
An alternative would be to use custody services provided by several major exchanges such as Coinbase and PayPal.
To combine the two, Square is creating a backed hardware wallet and storage service to make storing Bitcoins more widespread.