November 17 2025
On May 17, 2025, Festo Ivaibi, the founder of Mitroplus Labs, was abducted near his Bunamwaya Road residence in Kampala, Uganda. Armed assailants, dressed in military uniforms and posing as “security agents” of the Uganda People's Defence Forces (UPDF), forced him under threat to crypto worth $500.000. This shocking incident adds to a growing wave of crypto kidnappings in Uganda.
The attackers managed to force Ivaibi to unlock his crypto wallets and moved over $500.000 worth of crypto to their own wallet. In addition, part of Afro Token, a meme coin, was forcibly sold, as Mitroplus Labs reported. “This is not just an attack on an individual; it is an attack on a growing vision,” a statement from the Afro Token project account said.
The revelations go beyond Ivaibi’s abduction. Mitroplus Labs points to a disturbing trend: at least 48 similar attacks have been identified in Uganda, with many cases dismissed under pressure from their perpetrators. These types of attacks, known as “wrench attacks,” in which crypto holders are physically threatened, are becoming increasingly common. What makes this trend so worrying? The impact of such attacks can be disastrous for victims, who are forced to hand over their crypto assets.
In recent months, there have been multiple cases of crypto kidnappings, some of which have even resulted in physical harm to victims. Earlier this year, David Balland, co-founder of hardware wallet manufacturer Ledger, was kidnapped and assaulted for ransom. This not only reinforces the need for better security, but also raises questions about the role of government and law enforcement in protecting crypto investors.
Experts stress the urgent need for better coordination between physical security protocols and the protection of digital assets. Michael Pearl, vice president of strategy at blockchain security firm CyVers, suggests implementing multi-factor authentication and monitoring for unusual transaction patterns. “Criminals also have to be creative when it comes to their victims,” he notes. “Protecting crypto assets starts with anticipating them.” And that requires thinking ahead.
The threat of physical attacks on crypto investors parallels the explosive growth of digital assets. What does this mean for the average crypto user? How can we better arm ourselves against these growing risks? The answer may lie in a strong combination of digital and physical security. A catchy saying often comes with a touch of humor: “The best protection for your crypto is a good backdoor for your safety!”
In these challenging times, where more and more people are entering the crypto market, it is crucial to be alert and prepared. The carefully built crypto portfolios are valuable, but also vulnerable to malicious actors. Let us learn from these incidents and take action to protect ourselves and our assets. Stay informed, stay vigilant and work on your digital security!
What are 'wrench attacks'?
Wrench attacks are physical attacks where victims are pressured to access their crypto assets, often through threats or violence.
How many crypto kidnappings have been reported in Uganda?
Mitroplus Labs reports that at least 48 similar attacks have been recorded, most of which have not been officially reported.
What can crypto users do to protect themselves?
It is advisable to implement stronger security measures such as multi-factor authentication and monitoring unusual transaction patterns to identify potential attacks in time.
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