What is Unchained and how does it work?

Unchained is a US company that offers bitcoin multisig vaults under a model it calls collaborative custody. You keep two of the three keys that control your vault, and Unchained holds the third as a backup. On top of that, Unchained runs a bitcoin IRA, a lending desk and a trading desk that all work from the same kind of vault.

How does Unchained bitcoin multisig work?

Each Unchained vault has three keys, and any two of them can approve a spend. You hold two keys, usually on hardware wallets kept in separate places. Unchained holds the third. Because you already have two keys, you can move your bitcoin without asking Unchained. Unchained's own overview says clients can recover funds independently with open-source tools such as Caravan or Sparrow.

If you lose one of your keys, you can still sign with your remaining key plus Unchained's key, which is how it helps with recovery. The general idea of m-of-n signing is covered in our multisig wallet guide.

What is Unchained collaborative custody?

Collaborative custody means custody is shared between you and a company, but the company never holds enough keys to spend. Unchained offers personal vaults, trust vaults and business vaults, plus a premium tier called Signature that adds inheritance services. It also has an in-house trust company, Gannett Trust. Unchained Capital, Inc. states that it is not a bank, so vault balances are not bank deposits.

How does the Unchained bitcoin IRA work?

US law requires a licensed institution to act as an IRA custodian. Unchained uses Fortis Bank in that role, and legal title to the coins sits with the custodian. The coins stay in a 2-of-3 multisig vault where the client holds two keys and Unchained holds one. Unchained monitors IRA vaults for the custodian, and any movement of coins outside a planned rollover is reported to the IRS as a distribution. It supports Traditional, Roth and SEP IRAs and 401(k) rollovers. For the wider rules, see crypto in an IRA or 401(k).

How does an Unchained bitcoin loan work?

Unchained lends US dollars against bitcoin collateral. The collateral sits in a multisig vault where Unchained, Fortis Bank and the borrower each hold a key. Unchained says no single party can move or rehypothecate the collateral, and the borrower can check it on-chain. Loans run for 12 payments, with interest-only payments every 30 days and principal due at the end.

If the bitcoin price falls past a set level, the borrower must add collateral or pay down principal. As of November 2026, loans are offered only in certain US states, and the minimum in most cases is $150,000 for business entities and $500,000 for individuals and trusts. General loan mechanics are covered in crypto lending and borrowing.

Rules differ by country and change often. Check the tax authority or a qualified professional for your own situation.