A trustee for crypto assets in a trust: who controls the keys

A trustee crypto assets trust arrangement stands or falls on one practical point: who can actually move the assets. In a trust, title sits in the trustee's name and the assets form a separate fund, but a crypto holding has no register entry to say so. Whoever holds the private keys holds the power to transfer. This page looks only at the trustee's work: custody, control of keys, valuation and records.

It is general information, not advice. The right set-up depends on the kind of asset, the trust deed and the people involved, which is why it starts with an individual analysis.

Why keys matter more than title

The Hague Trusts Convention describes a trust as assets placed under a trustee's control, held as a distinct fund with title in the trustee's name, and managed and accounted for by the trustee. For a bank account or a property, the register or the bank confirms that position. For crypto assets, nothing external does.

Three consequences follow:

• If the settlor still holds the only copy of the keys, the trustee may be a trustee in name only.
• If one employee of a provider holds them, the assets depend on that person.
• If nobody can recover them, the assets can be lost without any wrongdoing.

Example: a family established in Lausanne transfers a wallet into a discretionary trust. The founder keeps the seed phrase in a drawer "just in case". The trust deed says the trustee controls the assets, yet in practice the founder still does. A trustee would treat that as a gap to close at the outset. For the wider question of what a trustee must be able to show, see what a trustee owes the beneficiaries.

The custody and control chain

A sound arrangement can be described as a chain. Each link has an owner, and the trustee should be able to point to who holds it.

Choosing a custody method

There is no single correct answer. The choice depends on size, activity, the types of asset and the trustee's own organisation. The trustee compares options on control, recovery, cost of operation and the quality of the provider.

Example: a founder in Zurich wants a wallet to need two separate approvals before any transfer. One approval sits with the trustee, the other with a second authorised person at the trustee's firm. Neither can act alone, and the policy says who steps in if one is unavailable. The trustee can then show how control works, which matters if a beneficiary or a supervisor asks.

If a protector holds a power over the assets, the trustee also needs to know how that power meets the signing rules. See working with a protector.

Recovery and succession

Control that cannot be recovered is a risk. The trustee therefore writes down:

• where backups are kept, and who can reach them;
• what happens if a signer dies, leaves or is incapacitated;
• how a successor trustee would receive control; and
• how often the procedure is tested.

This links to continuity planning when the trustee is not there and to the handover steps in changing trustee step by step.

Valuation and records

Digital assets move in value and can be held across several addresses or platforms. The trustee keeps a record that allows the trust to be accounted for at any point. In practice that means:

• a list of holdings by asset and address;
• the date and source used for each valuation;
• a log of transfers and who approved them; and
• supporting documents kept with the trust file.

Under the Swiss anti-money laundering law (AMLA, GwG), trustees covered by the Financial Institutions Act (FinIA, LEFin) are financial intermediaries. Article 7 AMLA requires documents to be drawn up and kept, and Article 8 requires organisational measures. A trustee also has to identify the beneficial owner with due diligence under Article 4 AMLA. For more on what you are entitled to see, read what information your trustee must give you.

Deed provisions specific to digital property

A trust deed written for cash and shares may not work well for crypto assets. The trustee reviews whether the deed:

• permits the holding of digital assets and the use of a custodian;
• sets limits on risk or on trading;
• deals with forks, staking, airdrops and similar events;
• allows the trustee to delegate technical tasks while remaining accountable; and
• fits the powers kept by the settlor. The Convention accepts reserved powers, but the trustee must be able to carry out its duties with them.

Where several vehicles are involved, see a trustee in combined structures.

Checks on the origin of the assets

Before accepting digital assets, the trustee asks where they came from. It verifies the identity of the contracting party under Article 3 AMLA and the beneficial owner under Article 4 AMLA. For crypto assets this often means tracing the path of funds, reviewing exchange statements and obtaining a written declaration. A trustee that cannot satisfy itself on origin may decline the assets. That decision is part of the protection of the trust, not an obstacle to it.

Why separation matters if something goes wrong

Swiss law treats the trust fund as distinct from the trustee's own estate. Under Article 284a of the Debt Enforcement and Bankruptcy Act (DEBA, LP), a claim against the trust assets is brought against a trustee as representative of the trust and continues as bankruptcy limited to those assets. Under Article 284b, if a trustee goes bankrupt, the trust assets are set aside from the estate after deducting the trustee's claims against them. That separation only helps if the assets can be identified, which is one more reason for clear records.

What this service does not cover

The service concerns the trustee's role. It does not provide tax advice for any country, trading advice, or a guarantee of recovery of lost keys. It does not compare jurisdictions. A trustee also does not replace the technical provider; it chooses, supervises and documents.

What the confidential assessment can establish

The assessment can establish who controls the keys today, whether the current custody method matches the trust deed, what records exist, and which gaps need closing. It also shows whether the trustee you have, or are considering, is equipped for this kind of asset. Remuneration depends on the structure and is explained after the confidential assessment. For a broader review, see independent review of an existing trust.