Programmer Stefan Thomas stores 7,002 BTC on an encrypted IronKey hardware device and loses the password. The IronKey allows only 10 password attempts before permanently encrypting the drive's contents forever. By the time the story gained widespread attention in 2021, the bitcoin was worth over $220 million and Thomas had already used 8 of his 10 guesses. With only 2 attempts remaining, Thomas has refrained from trying again, waiting for potential advances in cryptographic cracking. The tale became the definitive cautionary story about the importance of secure key management and backup procedures.
New York Times: Lost Passwords Lock Millionaires Out of Bitcoin