Bitcoin News Today: Welsh Man Shifts to Tokenization After Giving Up on Recovering $905M Lost Bitcoin

James Howells, a Welsh man who accidentally discarded a hard drive containing 8,000 Bitcoin in 2013, has officially abandoned his efforts to physically retrieve the device from a landfill in Newport. The hard drive, which once held a value of less than $1 per coin, is now estimated to be worth approximately $905 million. Over the past 12 years, Howells has pursued multiple avenues to recover the device, including legal battles, drone surveys, and even offering to buy the landfill outright for 25 million British pounds ($33.3 million) [1]. However, after the UK Court of Appeal rejected his request for an excavation permit in March 2025, citing no “real prospect of success,” Howells has shifted strategy [1].

Instead of attempting to retrieve the physical hard drive, Howells is now turning to tokenization. He plans to create a DeFi-focused token inspired by the lost Bitcoin, symbolically representing the value of the coins that are now buried and inaccessible. According to Howells, the token will not be backed by spendable Bitcoin but will function as a digital representation of the original lost stash [1]. This move transforms the physical inaccessibility of the hard drive into a conceptual “vault” — one that no one can physically access, but everyone can observe and engage with through blockchain.

Howells previously proposed a tokenized investment model where tokenholders would receive a share of the Bitcoin if recovery succeeded, but this initiative was shelved after the city remained unresponsive to his offers [1]. Now, he is focusing on a new token built on Bitcoin’s Layer 2 infrastructure, leveraging upcoming network updates to enable more complex smart contract functionality [1]. The project is not intended to represent ownership of the physical hard drive but rather the symbolic and legal claim to the 8,000 BTC.

Not all experts share Howells’ optimism. Harry Donnelly, CEO of Circuit, noted that the chances of recovering the Bitcoin are extremely low, and the value of the proposed token would likely trade on narrative rather than any legal or financial claim [1]. Despite this skepticism, Howells remains committed to the tokenization approach, framing it as a continuation of his journey into digital innovation.

In addition to the token, Howells’ story has attracted interest from the entertainment industry. In April 2025, he signed an agreement with a Los Angeles-based production company to create a docuseries, podcast, and related content under the title “The Buried Bitcoin” [1]. The project aims to bring the story of the lost Bitcoin to a broader audience, even as the physical hard drive remains buried and the digital representation moves forward.

Howells’ journey from landfill excavation to tokenization reflects the evolving nature of digital asset ownership and representation. While the fate of the 8,000 Bitcoin remains uncertain, his pivot highlights the potential for blockchain to redefine property rights in digital and conceptual terms [1]. Whether the token gains traction among investors or remains a symbolic asset, it marks a new chapter in a saga that has spanned over a decade [1].

Source: [1] UK Man to start Token to Reclaim Lost 8000 Bitcoins (https://thecurrencyanalytics.com/bitcoin/uk-man-who-lost-8000-bitcoin-in-landfill-pivots-to-tokenizing-ownership-188983)