Fiduciaries (executors, trustees, guardians) maintain and handle funds on behalf of others (heirs, beneficiaries, and many others). So it is necessary to have the ability to audit a fiduciary’s transactions, to make sure he hasn’t mismanaged or stolen any funds.
With financial institution and brokerage accounts, this may be pieced collectively from account statements. How can a bitcoin pockets be equally audited?
Simplified Instance: Upon demise, the executor takes possession of the deceased’s {hardware} pockets. Over the course the probate course of, executor spends to pay collectors, taxes, and many others.
On the finish of probate, executor proposes to distribute the remaining bitcoin/utxos equally to the heirs, as per the desire.
Had this been financial institution/brokerage accounts, the Executor would use statements to create a paper path of all of the {dollars} he collected, what he spent, and thus the remaining stability for the heirs.
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However how can the heirs verify what was the “opening stability” of the pockets? The executor may present a listing of addresses and utxos when he took possession of the pockets, however how may anybody confirm that it is a full listing?
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If there is a passable reply to this, the remaining (auditing executors’s spending, remaining stability, and many others.) looks like fundamental on-chain monitoring, assuming he spends on-chain and never lightning. Am I mistaken?
Thanks
