Crypto 'Wrench Attacks' Surge 75% as Digital Wealth Becomes Physical Target

72 attacks worldwide. That's how many times criminals used physical violence to steal cryptocurrency in 2025—a 75% jump from the previous year that signals a disturbing evolution in digital asset crime.

The latest report from CertiK reveals that crypto's mainstream adoption has spawned an unexpected dark side: when hackers can't break digital defenses, they're increasingly willing to break bones instead. With over $40 million in confirmed losses, so-called "wrench attacks" have transformed from isolated incidents into a systematic threat.

Europe Becomes the New Crime Hotspot

The geographic shift is perhaps most alarming. Europe now accounts for over 40% of all crypto wrench attacks globally, nearly doubling from 22% in 2024. France leads with 19 reported incidents—more than the United States—as organized crime groups systematically target known crypto holders across France, Spain, and Sweden.

These aren't opportunistic street crimes. The attacks involve sophisticated planning: home invasions, kidnappings, and targeted threats against family members. Criminals are building detailed profiles of crypto wealth, sometimes cultivating fake romantic relationships through "honey pot" schemes before striking.

The violence has escalated beyond simple robbery. The report documented a 250% increase in physical assaults, with some cases involving murder. Attackers don't just threaten victims directly—they target spouses, children, and elderly parents to compel cooperation.

The Technical Paradox

CertiK calls this phenomenon the "Technical Paradox": as digital security improves, criminals simply bypass it entirely. Multi-signature wallets, hardware security modules, and biometric authentication mean nothing when someone's holding a gun to your head.

This represents a fundamental shift in the risk equation for crypto holders. The industry has spent billions fortifying digital defenses—cold storage, air-gapped systems, sophisticated encryption. Yet all these protections crumble when faced with physical coercion.

Some insurers are adapting. Lloyd's of London and other major firms now offer specialized coverage that includes wrench attacks. But insurance payouts can't undo trauma or restore a sense of safety.

The Privacy-Security Dilemma

The surge in physical attacks creates a troubling dilemma for the crypto community. The technology was built on principles of financial privacy and individual sovereignty. Yet that same privacy now makes holders vulnerable to targeted violence.

Public blockchain ledgers mean large transactions are visible, even if identities aren't immediately apparent. Social media bragging about gains, conference attendance, and even casual mentions of crypto involvement can paint targets on backs. The line between healthy privacy practices and paranoid operational security is blurring.

For many holders, the solution involves uncomfortable trade-offs: using custodial services that contradict crypto's self-sovereignty ethos, or adopting elaborate security protocols that feel more suited to witness protection programs than investment portfolios.

Beyond Individual Protection

The $40 million in documented losses likely represents just the tip of the iceberg. Many victims don't report attacks due to privacy concerns or fear of further targeting. This underreporting makes it difficult for law enforcement to allocate appropriate resources or develop effective countermeasures.

The crypto industry faces a credibility crisis. If holding digital assets requires living like a target, mainstream adoption becomes questionable. The promise of financial freedom rings hollow when it comes with physical danger.