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DeFi exploits, on-chain interventions and the private key: recent developments in cryptoasset recovery

29 June 2026 / Author(s): John Lee
Issue: July 2026 / Categories: In Practice

The author examines the significance of the Arbitrum Security Council’s recent decision to freeze and transfer misappropriated cryptoassets without the private key. The author assesses the implications of this intervention for the principle of “not your keys, not your coins”, the blurring of boundaries between custodial and non-custodial wallets, and the broader ramifications for cryptoasset enforcement and recovery in the English courts and beyond.

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