10 December 2025
A crypto investor has been arrested in New York and accused of kidnapping and torturing another man in a violent attempt to gain access to his Bitcoin wallet, prosecutors said, citing information released on Saturday.
John Woeltz, 37, was arrested Friday night after his alleged victim escaped from a luxury Manhattan mansion where he had been held for weeks. Prosecutors say the man was bound, beaten, drugged and shocked in a prolonged attempt to force him to reveal his password. The victim, a 28-year-old Italian national, arrived in New York in early May and was abducted on May 6. He finally escaped on Friday by pretending to retrieve his password from another room.
Woeltz was arraigned Saturday and charged with kidnapping, assault, unlawful imprisonment and weapons possession, and was denied bail. Prosecutors said Woeltz did not act alone; an “unarrested male” is being considered an accomplice. A search of the home turned up cocaine, a saw, chicken nets, night vision goggles and Polaroids of the victim with a gun pointed at his head.
As digital assets grow in value and public interest, criminals are increasingly turning to violence to bypass encryption and gain access to people’s digital wallets. The incident underscores a disturbing trend of so-called “wrench attacks”: physical assaults designed to forcibly extract cryptocurrency information from victims.
Security experts have noted an increase in such incidents. Jameson Lopp, CTO of security firm Casa, has reported at least 2025 physical attacks related to cybercrime in 26 alone. crypto, ranging from kidnappings to home invasions. These attacks included an attempted kidnapping of the daughter of a French crypto executive last week, in which her child was also implicated.
Earlier this month, an American tourist was drugged by a fake Uber driver, causing him to lose $123.000 from his crypto wallets. In January, David Balland, co-founder of Ledger, had his finger cut off during an extortion attempt, and there have been several attacks in France in which victims lost their fingers.
The rising involvement of violence in the cryptocurrency space not only exposes the vulnerability of investors but also requires urgent attention to security measures. It is crucial that individuals involved in the crypto market are aware of the risks and take proactive steps to protect their assets.
What are “wrench attacks”?
“Wrench attacks” are physical attacks designed to obtain cryptocurrency information, such as passwords, from victims through coercion or violence.
Why are crypto investors a target for criminals?
The allure of the value of digital assets and the anonymity that cryptocurrency offers makes investors attractive to criminals, who may use violence to gain access to these assets.
How can crypto investors protect themselves from such attacks?
It is essential for investors to implement strong security measures such as using hardware wallets, two-factor authentication, and limiting publicity surrounding their cryptocurrency holdings.
Bitcoin (BTC)
Ethereum (ETH)
XRP (XRP)
