Spanish authorities arrested five suspects in December 2025 after an investigation tied a criminal network to an April case in which a crypto trader was tortured, killed and his partner kidnapped, highlighting the lethal risk to self-custody holders from so-called wrench attacks.
Police say the December arrests closed a months-long probe into the April incident in which the victim was reportedly tortured and burned alive for access to a digital wallet, while a partner was taken hostage. Five people were detained in Spain and four others were charged in Denmark, indicating cross-border coordination among suspects. The brutality of the crime has prompted authorities to treat attacks targeting crypto holders as organized, high-priority criminal operations — a shift that increases cooperation across jurisdictions.
Data compiled during 2025 show a dramatic rise in violent extortion tied to cryptocurrency: a reported 169% increase in wrench-type assaults and more than 60 violent incidents by December. Some estimates cited 52 attacks by October and 25 by May, translating into an average of roughly one Bitcoin-holder kidnapping per week over parts of the year. Cumulatively, these crimes have coincided with reported losses exceeding $2.17 billion in stolen crypto, signaling that the criminal threat now blends digital and physical vectors.
Notable parallel incidents referenced include a case in Herzliya, Israel (October 2025) that netted roughly $600–$650k, an attempted kidnapping in Paris in May 2025, a prolonged-torture case in New York in 2024, and a 2023 Richmond, B.C., theft valued at about CAD 10 million — all underscoring the global reach and escalating severity of such crimes. The takeaway: rising asset values and public displays of crypto wealth have converted some holders into high-value targets.
Law enforcement response and market reaction
Investigators are increasingly leveraging blockchain intelligence platforms such as Chainalysis, TRM Labs and Bitquery’s MoneyFlow to trace illicit flows, a capability that has aided prosecutions and asset recovery. Private firms, notably Coinbase in cited examples, have assisted with tracing stolen funds. International bodies including the Department of Justice, Europol and the OSCE are expanding investigative tools and asset‑confiscation measures, sometimes invoking legacy statutes such as the Proceeds of Crime Act 2002.
The criminal pressure has pushed wealthy holders toward institutional custody, specialized insurance and enhanced personal security, forcing a debate within the community between autonomy and safety — often summarized by the maxim “not your keys, not your crypto.” The implication for markets: custody preferences and security products may reshape demand for institutional services and insurance solutions.
The dismantling in Spain signals both enforcement progress and the deepening threat that blends online anonymity with offline violence, pressuring holders and service providers to reassess security trade‑offs.
