Cryptocurrencies serve as digital assets that are fundamentally incorporeal and intangible. Some refer to them as “magic internet money.” However, investors in cryptocurrencies are not shielded from the tangible realities of our world.
This feature is a segment of CoinDesk’s Most Influential 2025 list.
A significant influencing factor in the space this year has been the surge of violent incidents that utilized physical aggression, intimidation, and fear to seize individuals’ crypto assets.
The “wrench attack,” once a meme suggesting that no amount of encryption can prevent a physical blow, became a grim reality in 2025.
From Paris to New York to Sweden to Thailand, a new wave of threats emerged this year where the cost of maintaining your own keys extended beyond market volatility and phishing attacks, escalating to physical violence against crypto holders.
These were not isolated incidents. Crypto veteran Jameson Lopp has been monitoring documented physical attacks related to bitcoin and has registered over 260 cases since 2014, with wrench attack incidents soaring by at least 169% this year alone. Lopp’s statistics depend on news-reported attacks, which suggests the actual extent of the wrench attack crisis could be even larger.
Offenders vary from organized crime groups to opportunists who leveraged on-chain data, luxury expenditures, and excessive social media sharing to target individuals. Some impersonated delivery personnel, while others lingered at gyms, residences, or hotels. The demand was straightforward: surrender the wallet, or face consequences.
Consequently, physical security has risen to become a critical issue in the realm of crypto. Lopp has been advocating for measures against wrench attacks. Ensuring safety in cryptocurrency now encompasses more than just safeguarding your private key; it additionally requires attention to physical security. Depending on an investor’s circumstances, this may include enhanced operational security (OpSec) or even hiring personal protection.
For some, it might also necessitate obtaining additional insurance. Notable firms, including insurance leader Lloyd’s of London, have begun offering coverage for incidents involving wrench attacks or related kidnappings. Furthermore, wallet developers have initiated the incorporation of security features such as codes that trigger silent alerts or erase sensitive data.
