Bitcoin Boom Turns Dangerous: Physical Attacks on BTC Holders Skyrocket

The rising value of Bitcoin and other cryptocurrencies has once again made crypto holders prime targets for physical attacks, with 2025 already witnessing 11 criminal incidents. 

According to data compiled by security expert Jameson Lopp, co-founder and chief security officer of CASA, more than 200 reported cases of physical assaults, robberies, and even murders targeting Bitcoin and crypto holders have surfaced since 2014.

The latest case occurred on Feb. 25 in Korea, where four individuals were arrested in connection with the murder of a Chinese man attempting to buy virtual currency. The incident sheds light on the growing risks for crypto investors, particularly in Asia and Europe, with Thailand, Korea, and France emerging as the most affected regions in 2025.

Bitcoin’s Price and Crime: A Correlation?

As Bitcoin crossed the $100,000 milestone, criminal interest in targeting holders has intensified. Lopp points to a “rough correlation” between Bitcoin’s price and the frequency of what he calls “wrench attacks,” referring to physical assaults aimed at forcibly extracting crypto holdings.

“As adoption increases, mainstream awareness increases, and as such, the number of criminally minded people who are aware of it increases,” Lopp explained in an interview. “We’re currently in the discovery phase where criminals are trying to determine the risks and rewards of targeting crypto asset holders for robberies.”

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Notably, since 2021, documented attacks have consistently exceeded 20 cases per year, suggesting that physical crypto-related crimes are not an anomaly but a growing trend. However, the actual number of incidents could be much higher, as many victims refrain from reporting due to the privacy-focused nature of crypto holdings.

Law Enforcement and the Limits of Protection

While regulatory frameworks for digital assets continue to evolve, Lopp warns that law enforcement can only act after an attack has taken place. “Law enforcement is not in the business of protecting individuals from attacks – they only come into play after an attack has occurred. If you wish to have proactive protection measures in place, you’ll have to implement them yourself,” he stated.

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Given the ease with which digital wealth can be transferred, securing assets against physical threats requires a combination of advanced cryptographic tools and strategic privacy practices. Lopp recommends adopting measures such as:

• Multi-signature wallets and time locks: These security features prevent immediate access to large amounts of crypto, making it harder for criminals to extract funds under duress.
• Avoiding single points of failure: If a holder can single-handedly authorize a large transaction quickly, their assets are more susceptible to extortion.
• Reducing exposure: Avoiding high-value face-to-face trades, limiting public discussions about holdings, and maintaining anonymity online can reduce the risk of becoming a target.

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“Wrench attacks want to get in and out as quickly as possible. Requiring them to hold you hostage for a lengthy period and transport you without raising suspicion will be quite unpalatable,” Lopp added.

A Growing Concern in a Maturing Market

As Bitcoin continues to gain institutional adoption and mainstream traction, security concerns extend beyond the digital realm. Investors and traders—whether retail or institutional—must balance the convenience of access with the need for robust security measures.

With crypto-focused crime evolving, proactive defense mechanisms will play a critical role in ensuring that wealth stored in decentralized networks remains beyond the reach of physical threats.