Michaela
Summary: Why are wrench attacks becoming a bigger threat to crypto holders in 2025?
Wrench attacks are rising alongside crypto prices, especially Bitcoin, which hit new highs in 2025. As the value of digital assets increases, attackers are more motivated to use physical force to gain access. This makes privacy, wallet separation, and offline safety crucial for anyone holding valuable crypto like SHIB.
Blockchain analytics firm Chainalysis has reported that physical assaults on cryptocurrency holders, known as “wrench attacks”, are on track to double compared to any previous year, marking a sharp rise in violent tactics used to steal digital assets.
Chainalysis’ 2025 Crypto Crime Mid-Year Update notes stolen funds as the leading concern for the crypto community this year. The rise in thefts poses not only an urgent risk to users and platforms but also raises deeper questions about the resilience of the industry’s long-term security infrastructure.
The firm emphasized that what sets the current trend apart is the speed and persistence of the attacks. While 2022 remains the worst year on record for crypto theft, 2025 has already seen comparable volumes stolen, accomplished in a significantly shorter timeframe. “Currently, 2025 is 17.27% worse than 2022 at the end of June. If this trend continues, we could see 2025 end with more than $4.3 billion stolen from services alone,” Chainalysis wrote.
The report particularly spotlights the rise in “wrench attacks” in 2025. These are incidents wherein physical force or threats are used to compel crypto holders to surrender access to their assets. While the number of reported cases is already significant, the firm warns that the actual figure may be much higher, as many of these incidents likely go unreported.
Chainalysis further identified a clear correlation between the rise in wrench attacks and the “forward-looking moving average” of Bitcoin’s price. In 2025, Bitcoin achieved record highs, surpassing $120,000 at the time of reporting, according to data from CoinMarketCap.
This correlation suggests that “the future increase in asset values (and the perception of its future upward movement) may trigger additional opportunistic physical attacks” against cryptocurrency holders and key industry participants, emphasizing the heightened risks accompanying market growth.
Furthermore, the report emphasized that North America leads in both Bitcoin and altcoin theft, a trend likely driven by the region’s high levels of crypto adoption and the presence of sophisticated threat actors targeting substantial individual holdings.
In contrast, Europe ranks highest globally for theft involving Ether and stablecoins. This may reflect either stronger regional adoption of these assets or a tendency among attackers to favor more liquid and easily transferable cryptocurrencies.
Wrench Attacks Spotlights the Need for Anonymity and Asset Separation
As wrench attacks rise, Shiba Inu holders need to take serious precautions to stay safe, not just online, but in real life. The most important step is maintaining anonymity. Flaunting large SHIB balances, rare Shiboshis, or DAO voting power on social media can make you a target.
Security experts warn that in the age of physical crypto attacks, self-custody requires not just technical knowledge but also operational discipline. Using aliases and refraining from tying wallets to personal identities can significantly reduce exposure. This means avoiding the temptation to post wallet screenshots, ENS names, or even Shibarium-linked PFPs that trace back to high-value assets.
One recommended strategy is wallet compartmentalization. Rather than storing everything in a single address, users should divide assets between cold storage wallets for long-term holding and smaller, public-facing wallets for staking, trading, or interacting with dApps. This not only minimizes potential loss in the event of a compromise but also limits the visibility of one’s full portfolio.
In addition, enabling hardware wallet protections, using burner wallets for new platforms, and turning on multi-factor authentication wherever possible can further fortify digital defenses. But when threats turn physical, it’s anonymity—not just encryption—that may matter most.
Read More
- New Crypto Kidnapping Risk: Bitcoin Surge Fuels Physical Crimes
- NYC Crypto Kidnapping: Not Guilty Pleas in Torture Case
- Fearing Attacks, Bitcoin Family Hides Keys Across Continents
Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
