Experts Discuss Strategies for Ensuring Safety Amid Increase in Crypto Kidnappings

The alarming abduction of Ledger co-founder David Balland serves as a recent reminder of the safety risks faced by cryptocurrency traders and entrepreneurs.

Last week, he and his wife were taken at gunpoint in France, with their captors demanding a €10 million ransom to be paid in digital assets.

During this harrowing experience, Balland suffered the loss of a finger, and the couple, who were held in different locations, were eventually rescued by law enforcement.

This incident is the latest in a series of events targeting individuals who have amassed wealth through investments and innovations in Bitcoin.

In another instance, the father of a crypto influencer was kidnapped, restrained in the trunk of a car, and doused with gasoline.

The founder of a Canadian exchange was also abducted and held until a ransom of $1 million was paid.

Additionally, in Ukraine, a 29-year-old foreigner was killed after being forcibly taken by assailants who stole 3 BTC from his wallet.

The rise in violent crime reflects the ongoing bull market in cryptocurrency, which has intensified since Donald Trump’s election victory.

Criminals can reasonably assume that early adopters are now sitting on substantial fortunes, given the significant appreciation of Bitcoin’s value in recent years — with the perceived anonymity of crypto transactions fostering confidence that ransoms can be paid without detection.

However, what specific risks do high-net-worth crypto traders face, and what measures can they implement to ensure their safety? Cryptonews consulted two security experts who specialize in this area.

David Balland

‘Security is a New Asset Class’

Kate Brilliant, CEO and founder of UMBRA Worldwide, conveys a straightforward message: risk does not differentiate based on how wealth is acquired.

“The perception of wealth elevates the risk profiles of all our clients — whether they are well-known in their industry or more broadly. The primary risks for high-net-worth crypto investors are similar to those faced by anyone investing in any other asset class who wishes to maintain a private life.”

She explained that wealth exposes individuals to risks in various ways — physically, digitally, reputationally, and from an emotional security standpoint, but “proactive measures” can be implemented across all four dimensions.

“Security is an asset class. We discuss this type of security as an investment. You should be investing in your security. UMBRA provides clients — single-family offices, private clients — with the ability to understand where and how they should be investing in their security, and maximizing the return on their investment begins with a proactive approach, similar to portfolio management.”

Some of these measures may include assessing vulnerabilities within an investor’s asset portfolio, conducting background checks on staff members, analyzing their digital footprint, and testing the robustness of their IT systems.

There are also critical questions regarding emotional security: do you feel safe 24/7, and are you concerned about your children’s safety?

“Everyone, including crypto investors, should be considering proactive strategies to stay safe — holistically, and view it as a strategy. Your physical, digital, reputational, and emotional levers; how secure you feel is a reflection of your emotional resilience at any given moment. 100% of our clients aren’t necessarily worried about themselves, but more concerned about their younger generations.”

David Webb, CEO of Valkyrie, a British security and investigations firm focused on protecting individuals, assets, and reputations, stated that this recent kidnapping should serve as a wake-up call for crypto investors — given that the decentralized nature of digital assets allows for funds to be laundered globally with minimal traceability.

“Balland’s case involved meticulous planning by criminals, who utilized surveillance and lured him into a vulnerable situation. This incident underscores the increasingly sophisticated methods employed by threat actors and highlights the global nature of these risks.”

Webb elaborated that such kidnappings can have far-reaching consequences — including physical harm, financial losses, long-term psychological trauma, reputational damage, and a persistent sense of insecurity.

“Criminals targeting crypto investors are often financially motivated, but their tactics are continually evolving. Organized crime networks exploit the borderless nature of cryptocurrency to launder funds and obscure transactions through tools like crypto mixers and tumblers, complicating recovery efforts. Sophisticated operations, like the Balland case, often involve extensive surveillance, social engineering, and sometimes insider collusion.”

While kidnappings and physical assaults remain relatively rare, Webb cautioned that significant attention must be given to digital threats.

“Hackers frequently target crypto wallets, exchanges, and platforms, employing phishing schemes to impersonate legitimate services and steal login credentials. They also utilize social engineering tactics to pose as trusted individuals, often relying on publicly available information, such as social media posts or corporate news, to enhance their credibility. Furthermore, emerging technologies like AI-driven impersonation and deepfakes present new risks, enabling attackers to circumvent traditional authentication methods or lure victims into traps.”

There is also the risk of hybrid attacks, where criminals combine physical surveillance with digital reconnaissance to identify vulnerabilities in their targets.

“Physical threats, as demonstrated by the Balland case, include kidnappings, muggings, and extortion. Some criminals may resort to digital kidnapping, where they falsely claim to have abducted an individual or their loved one, using fear and urgency to demand ransoms, often in cryptocurrency. These methods typically involve thorough research to identify suitable targets and the use of surveillance to monitor movements and behaviors.”

Staying Safe

While both Kate Brilliant and David Webb primarily cater to high-net-worth individuals, the security measures they recommend can be adopted by all crypto traders — regardless of their financial status.

Webb emphasizes the importance of discretion when discussing wealth or investments — and advises against oversharing on social media.

“Even seemingly harmless updates can provide criminals with valuable information.”

He further recommends that investors utilize multisignature and hardware wallets stored in secure, undisclosed locations — and to remain vigilant against phishing scams, counterfeit applications, and SIM-swap attacks. Thoroughly vetting those who have access to your assets and office is also crucial, along with careful planning when traveling internationally.

Valkyrie often encourages its clients to consider enhancing security during high-risk situations — such as public appearances or large transactions — through measures including close protection and specialized drivers. Ethical hackers can simulate attacks and assess the resilience of a millionaire’s infrastructure as well, with Webb stating it is vital to prepare for crisis scenarios and know “how to act calmly and decisively under pressure.”

“Security shouldn’t be a one-size-fits-all solution; it must be tailored to each individual’s unique circumstances, lifestyle, and risk profile. By adopting a proactive, layered approach — combining physical, cyber, and operational measures — crypto traders can stay ahead of emerging threats, reduce their exposure, and protect both their assets and well-being. Ultimately, effective security is not just about mitigating risk; it’s about empowering individuals to navigate the crypto space with confidence, knowing the right measures are in place to safeguard what matters most.”

Both experts concur that ongoing vigilance is essential, and preparedness is necessary as technology evolves and the tactics employed by criminals adapt in response. As Brilliant states:

“I believe the best value investment you can make in your digital and reputational security is a regular online digital audit to assess how you’re perceived, whether there are any vulnerabilities, and to address those promptly. I think if you’re physically, mentally, and cognitively managing your risk perception, you will be more resilient. We have data to support that assertion. The more emotionally resilient and secure you are, the better you will perceive risk appropriately, be proportionate about it, and exercise some situational awareness — whether that’s on the street, traveling, or engaging with individuals online. Whether you have privacy online or not, it doesn’t matter; it’s an equal playing field now because wealth at any level increases exposure.”

And it is this situational awareness that can be crucial for everyday crypto traders as well. In the U.K. alone, recent incidents have included pickpockets targeting an individual in a pub and stealing his phone. It is believed the attackers observed him enter the PIN to unlock his Crypto.com account.

Other victims have been physically coerced into logging into exchange apps using Face ID against their will — resulting in thousands of pounds worth of crypto being drained from their accounts within seconds.

Users are often left with minimal safeguards when such an attack occurs — especially considering that law enforcement may lack the time and technical expertise to conduct the on-chain analytics necessary to trace what happened to their stolen funds.

One Bitcoiner who has been advocating for operational security (OPSEC) for years is Jameson Lopp, co-founder of Casa.

He has meticulously documented physical assaults against Bitcoiners since 2014, and just a few of these incidents include:

• A firefighter being kidnapped, robbed, and stabbed
• A crypto executive being abducted at a car wash
• A man who was tortured for three hours by assailants attempting to steal his Bitcoin
• A blogger who boasted about his crypto wealth being assaulted
• A man losing $87,000 in BTC after being drugged by a woman he met on a dating app

Lopp asserts that social media posts about cryptocurrency — and discussing it in public settings — attract unnecessary attention, which could lead to compounded risks in the future, stating:

“It’s common for thieves to track victims for months, sometimes years, in preparation for the opportune moment, so it’s best to adopt a long-term approach to your security.”

Other practical tips he provided include:

• Avoid wearing Bitcoin-branded clothing
• Steer clear of wandering alone at night
• Post vacation photos only after returning home
• Disable real-time location tracking in fitness apps

While it may not be the most glamorous of topics, investing in basic security measures yields significant benefits.

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