Founders frequently retain sole control of treasuries long after team scale warrants multisig governance. This creates operational bottlenecks and catastrophic risk if the founder is unavailable or compromised.
Undocumented backup locations, untested recovery phrases, and shared credentials among co-founders are common patterns that lead to access failure or undetected insider exposure.
Investor and board diligence increasingly includes custody structure review. Demonstrable governance reduces friction during fundraising and protects organizational continuity.
Correcting custody mistakes requires structured assessment and phased hardening; EnteleCLOS does not guarantee recovery from prior governance failures.