Programmer Stefan Thomas has 2 password attempts remaining to access 7,002 Bitcoin locked on an IronKey encrypted USB drive since 2011. Thomas received the Bitcoin as payment for a 'What is Bitcoin?' educational video and later lost the password he had written down. The IronKey device permanently locks and deletes its contents after 10 failed password attempts, and Thomas has already used 8 tries. Kingston, the manufacturer, confirmed no recovery method exists beyond the original password, illustrating the risks inherent in Bitcoin self-custody where users bear full responsibility for securing their assets.
Thomas stored the wallet's private keys on the encrypted USB drive and wrote the password on paper, which he subsequently lost. The Bitcoin remains technically accessible but unreachable without the correct password. With Bitcoin trading around $111,000, the locked holdings have been valued at roughly $777 million, though valuations have fluctuated as Bitcoin's price changed over the years. Earlier estimates placed the value at about $91 million in 2020 and roughly $235 million by October 2023, with another account putting it near $253 million in late 2025.
IronKey Drive Enforces 10-Attempt Deletion Limit
The IronKey encrypted USB drive implements a security protocol that permanently locks and erases stored data after 10 incorrect password entries. Thomas has exhausted 8 of these attempts, leaving only 2 guesses before the device triggers its deletion mechanism. A Kingston spokesperson stated: "There is no backup password or alternative method, other than the original password that was set up by the user to retrieve the data." The manufacturer's confirmation eliminates any possibility of a recovery backdoor or override procedure. The device was designed to resist data extraction attempts, and its security architecture operates as specified with no exceptions for forgotten passwords.
Thomas Engages Naxo and Tarnovsky for Recovery Efforts
Thomas pursued recovery options by contacting digital forensics firm Naxo and security researcher Chris Tarnovsky, who is known for chip-level reverse engineering work. Thomas declined an approach from Unciphered because he had already established verbal agreements with Naxo and Tarnovsky. Tarnovsky told WIRED his involvement consisted of a single call in 2023, stating: "I want Stefan to cough up some money up front." Thomas described the recovery process in a 2023 Thinking Crypto interview: "When you're dealing with so much money, everything takes forever." As of late 2025, the IronKey was stored in a Swiss vault. By mid-2026, no confirmed breakthrough in the recovery efforts had been reported.
FAQ
What device is holding Stefan Thomas's 7,002 Bitcoin?
Stefan Thomas's 7,002 Bitcoin is stored on an IronKey encrypted USB drive that he received the cryptocurrency on in 2011 as payment for a 'What is Bitcoin?' educational video. The device has a security feature that permanently deletes its contents after 10 incorrect password attempts.
How many password attempts does Stefan Thomas have left on his IronKey drive?
Stefan Thomas has 2 password attempts remaining out of the 10 total allowed by the IronKey device. He has already used 8 attempts. Kingston, the manufacturer, confirmed there is no backup password or alternative recovery method beyond the original password that Thomas set up and subsequently lost.
Who has Stefan Thomas contacted to help recover his locked Bitcoin?
Stefan Thomas engaged digital forensics firm Naxo and security researcher Chris Tarnovsky for recovery efforts. He turned down Unciphered because he already had verbal agreements with the other two parties. As of mid-2026, no confirmed breakthrough had been reported despite these recovery attempts.
