How Regulation And Data Collection Are Creating Physical Security Risks

Physical attacks on crypto holders, often called wrench attacks, are increasing. A GART Research analysis of 309 documented cases recorded 76 attacks in 2025 alone, a 77% rise on 2024, with weapons involved in just over half of all cases and 24 deaths across the dataset. France recorded 20 attacks in 2025, compared with four between 2017 and 2024, including the kidnapping of Ledger co-founder David Balland and his wife.

The article looks at how identity data gathered for regulation and tax reporting, along with breaches such as the January 2026 leak at the French crypto tax platform Waltio, can help criminals find holders and their families. Kevin Loaec of Wizardsardine says the victims are not chosen at random. The piece also considers the OECD’s Crypto Asset Reporting Framework and the operational security steps that holders increasingly rely on.