Why crypto platforms need a ‘will function’ according to Binance’s CZ

Binance founder and former CEO Changpeng Zhao (CZ) is calling out a problem most crypto platforms still ignore: what happens to users’ digital assets after they pass away?

In a June 19 social media post, CZ urged crypto platforms to build a “will function,” a tool that allows users to decide how their assets should be passed on in the event of their passing.

“This is a topic people avoid, but the fact is, humans cannot live forever yet,” he wrote. Zhao acknowledged that while the idea of planning for one’s demise may be uncomfortable, it is one that is necessary. 

“It’s one of those features that no one wants to use, but everyone will need,” he wrote. “Better to be a responsible person to your loved ones.” 

He emphasized that such a feature would allow users to easily transfer their assets to designated accounts or beneficiaries in predetermined proportions.

The former CEO’s comments follow Binance’s recent rollout of an emergency contact and inheritance feature that enables users to designate contacts who can apply for inheritance in the event of their death.

Cryptocurrencies are increasingly gaining traction as legitimate forms of investment and wealth storage, and Zhao’s remarks highlight the growing need for more robust inheritance solutions, similar to those found in traditional finance. Unlike banks and other financial services, which have clear procedures for transferring assets after death, most crypto platforms lack such systems, potentially leaving families locked out and stranded in cases of unexpected loss.

Zhao also addressed the issue of minors owning crypto. According to him, while underage users may be restricted from trading, they should still be allowed to receive and own digital assets.

Several community members have praised Binance’s latest feature as “thoughtful,” and called on other exchanges and platforms to adopt similar features for wealth transfer and preservation.