On the night of the 6th, in an upscale townhouse in Manhattan, New York, which was shrouded in silence, a man surnamed A, a Bitcoin tycoon from Italy, awoke to the sound of unidentified assailants breaking down his front door.
In an instant, two masked men stormed in, bound A, and brutally assaulted him. They demanded the password to his Bitcoin wallet. A had no options in the face of weeks of confinement and torture, electric shocks, and threats with a saw.
As Bitcoin, dubbed 'digital gold,' has soared to record highs this year, powerful crimes targeting individuals like A, who have amassed vast wealth through cryptocurrency, are emerging worldwide.
On the 29th (local time), ABC News reported that crimes involving the theft of cryptocurrency, which previously occurred online via hacking or phishing, have now evolved into direct physical violence against victims, known as 'wrench attacks.'
The chilling name 'wrench attack' derives from a comic line suggesting that any complex digital lock can be easily shattered in front of an adjustable wrench. It signifies a crime methodology where, no matter how robust the cybersecurity, physically coercing the victim to extract a password renders the precautions ineffective.
According to a report by cryptocurrency tracking company TRM Labs, such wrench attacks have surged in various parts of the world in recent years. It warned that the methods are becoming increasingly bold and violent.
In France, five violent crimes targeting cryptocurrency codes have already occurred this year. The country has actively nurtured its cryptocurrency industry in recent years.
In January, David Balaan, co-founder of the cryptocurrency hardware manufacturer Ledger, was kidnapped from his home along with his wife. The assailants demanded €10 million (about 15 billion won) and cut off one of Balaan's fingers. Recently, another cryptocurrency corporation CEO's father lost a finger in a similar manner.
Recently, in broad daylight in the heart of Paris, the daughter and grandson of Pierre Noï, CEO of the cryptocurrency corporation Paymium, were nearly kidnapped. French media reported extensively on footage showing three masked assailants armed with guns attempting to force the woman and child into a van.
As the situation escalated, Bruno Le Maire, the French Minister of the Interior, personally intervened. He held an emergency meeting with leaders from the French cryptocurrency sector, noting that "we will mobilize all public power to protect them" and that "we will enhance asset tracking techniques and establish security guidelines tailored for the industry."
U.S. judicial authorities sentenced Remy La St. Felix, the head of a group that had violently burglarized to steal cryptocurrency last September, to 47 years in prison. This is the longest sentence imposed to date for violent cryptocurrency-related crimes in the United States.
Additionally, Bloomberg reported that cryptocurrency-related kidnapping incidents have occurred in Belgium, Estonia, Canada, Malaysia, Hong Kong, and elsewhere.
Cryptocurrency lacks a central governing body like a bank. Individuals must manage everything independently. This means that if one gets robbed, there is no one to turn to for help.
Moreover, once a cryptocurrency transaction occurs, it cannot be reversed, regardless of how it was conducted. Unlike traditional bank transactions, where one can request a return for erroneous transfers or freeze payments for fraudulent transactions, a cryptocurrency transaction is final once the send button is pressed. From a criminal's perspective, once the assets are seized, they become theirs in full.
The ability to move large sums across borders in a matter of clicks further encourages crime.
Social media (SNS) has added fuel to the fire. Young individuals who have suddenly become wealthy through cryptocurrency, flaunting expensive cars, high-end watches, and bundles of cash on SNS, prompt criminal organizations to systematically scour apps to target them.
A representative from TRM Labs pointed out that "criminal organizations meticulously scour SNS to find out who possesses how much cryptocurrency, where they live, and their patterns of life to hunt for targets." They warned that innocently posting a bragging photo could provide a pretext for horrific crimes.
Experts advise that enhancing digital security against hacking is essential, and now more attention should be paid to physical safety and personal information management.
A representative from the internet security company NordVPN stated, "Just as not putting all your eggs in one basket is wise, it is advisable to store cryptocurrency across multiple wallets," adding that "using multi-signature wallets that require multiple secret keys during transactions can significantly enhance security, even if it's inconvenient."