Bitcoin News Today: Bitcoin Wrench Attacks On Pace To Double 2021 Record

Bitcoin “wrench attacks,” a violent form of cryptocurrency theft, are on track to double the number of incidents recorded in the worst year on record, according to Chainalysis. These attacks involve the use of physical force or intimidation to coerce victims into surrendering their crypto holdings. As of July, 35 such attacks have already been recorded, suggesting a potential doubling of the number of physical attacks compared to the previous highest year.

The last bull market peak in 2021 saw the highest number of recorded attacks, with a total of 36 incidents against crypto holders. This trend has been exacerbated by the rising price of Bitcoin, which has reached multiple new all-time highs in 2025, with a current peak of over $122,000. The increased frequency of attacks is partly attributed to the soaring market value of Bitcoin, which has triggered additional opportunistic physical attacks against known crypto holders.

Chainalysis highlights several factors contributing to this trend, including the perceived anonymity and liquidity of crypto, increased public visibility of wealth, and the growing involvement of traditional organized crime networks. The rapid appreciation in the price of assets like Bitcoin has also played a significant role. Chainalysis CEO Jonathan Levin speculated that criminal organizations may be kidnapping crypto holders, assuming that crypto isn’t traceable.

Despite the grim outlook, there are factors that could potentially deter thieves. The widespread availability of structured market products such as Bitcoin exchange-traded funds and exchange-traded products, which allow people to invest in crypto without holding the underlying asset, could reduce the risk of physical attacks. Additionally, the transparency of blockchain technology means that stolen funds are traceable and, in the case of stablecoins, freezeable. Continued law enforcement activity could also act as a deterrent, breaking the current trend observed in the data.

However, the true number of victims remains unknown. While these cases are comparatively rare compared to hacks and other digital thefts, there is no concrete way to determine the exact number of attacks each year. Victims may not report incidents due to fear of retribution or a sense of hopelessness. Additionally, reported cases might be handled locally without much publicity, leading to underreporting in datasets of public incidents.