Latest news with #AriRedbord
Yahoo
3 days ago
- Business
- Yahoo
Crypto kidnappings on the rise as criminals resort to "wrench attacks"
The recent case of an Italian tourist who was kidnapped in New York City and tortured by people allegedly after his cryptocurrency is drawing attention to a rash of crimes dubbed "wrench attacks," which combine cybertheft with old-fashioned thuggery. The term stems from an XKCD comic that depicts a "crypto nerd's imagination" of the tech know-how that would be required to break into their digital wallet. In reality, the comic notes, all it would take is a heavy $5 wrench to threaten the crypto owner until they revealed their account password. Such attacks have picked up in recent months, partly because stealing a digital wallet can be easier than stealing money from a traditional bank account, said Ari Redbord, global head of policy and government affairs at TRM Labs, a crypto tracing firm. On top of that, the value of bitcoin has surged in recent months, making people with crypto holdings potentially lucrative targets for criminals. "Criminals go to where the money is, and we're seeing a huge rise in the price of bitcoin," Redbord said. "Before, you needed sophisticated cyber capabilities to hack someone, but now you can be a violent criminal who can beat [the password] out of someone." He added, "I don't think I've ever been as taken aback by this type of illicit activity in crypto." The crypto world also has a culture of flaunting wealth via social media posts or appearances at crypto conference, which allows criminals to easily identify potential targets. Bitcoin traded Friday at nearly $105,000 per token, according to CoinDesk — about 53% higher than a year ago. The digital currency has soared partly as people seek alternatives to put their money than traditional investments like stocks and bonds, and as the Trump administration takes steps to promote the use of cryptocurrencies, including establishing a "strategic crypto reserve." How to crack a wallet Cryptocurrency thefts aren't new, but they've typically involved hacking, such as a massive 2022 hack at crypto exchange Binance in which thieves initially stole $570 million, as well as multiple hacks by entities the United Nations found were linked to North Korea. In response to such threats, crypto owners often try and keep their private keys off the internet and stored in what are called "cold wallets." When used properly, such wallets can defeat even the most sophisticated and determined hackers. But criminals have realized they don't need any technical skills to steal crypto assets, Redbord said. All it takes is gaining access to a person's crypto account password, because there's no third-party financial institution standing in the way of accessing funds held in a digital wallet, he explained. Transactions on the blockchain, the technology that powers cryptocurrencies, are permanent. And unlike cash, jewelry, gold or other items of value, thieves don't need to carry around stolen crypto. With a few clicks, huge amounts of wealth can be transferred from one address to another. NYC crypto kidnapping The case in New York City is somewhat unusual because it involves crypto investors allegedly trying to steal the assets of another investor, Redbord said. In that case, investors John Woeltz, 37, and William Duplessie, 33, face charges of kidnapping, assault and unlawful imprisonment of the Italian tourist in an effort to steal his digital wallet containing bitcoin worth millions of dollars. Court papers allege that the pair held the unidentified 28-year-old victim for weeks in an apartment in New York City's fashionable Soho neighborhood. After the victim was abducted, he was shocked with electric wires, his leg was cut with a saw and he was forced to smoke crack cocaine, prosecutors allege. Items including a photo of a gun held to the Italian tourist's head were found in the apartment by investigators. Two New York City police detectives had been working security for the accused kidnappers, CBS News New York has reported. The detective have been placed on desk duty as police investigate. Such incidents have also occurred with increasing frequency in Europe and Asia. Several cases in France have mirrored the New York City attack, with French police arresting 20 people following several alleged kidnapping plots involving crypto investors and their families, the BBC reported earlier this week. In one case, a gang allegedly tried to kidnap the daughter and young grandson of a cryptocurrency company executive in Paris, while earlier this month the father of a crypto millionaire was rescued by police in Paris after he was kidnapped and held for ransom. Aside from keeping a lower profile, crypto investors can take other steps to make it tougher for criminals, Redbord said. One option is to require permissions from several people to access a wallet, for instance. In the meantime, criminals are taking note and may be pursuing similar crimes, he added. "They are seeing successes and trying to replicate these successes," Redbord said. Extended interview: Capitol police chief Thomas Manger on one of "worst days in this job," more Key takeaways from Trump's event with Musk as he departs post Trump celebrates Musk as he departs "special government employee" post with DOGE
CBS News
3 days ago
- Business
- CBS News
Crypto kidnappings on the rise as criminals resort to "wrench attacks"
The recent case of an Italian tourist who was kidnapped in New York City and tortured by people allegedly after his cryptocurrency is drawing attention to a rash of crimes dubbed "wrench attacks," which combine cybertheft with old-fashioned thuggery. The term stems from an XKCD comic that depicts a "crypto nerd's imagination" of the tech know-how that would be required to break into their digital wallet. In reality, the comic notes, all it would take is a heavy $5 wrench to threaten the crypto owner until they revealed their account password. Such attacks have picked up in recent months, partly because stealing a digital wallet can be easier than stealing money from a traditional bank account, said Ari Redbord, global head of policy and government affairs at TRM Labs, a crypto tracing firm. On top of that, the value of bitcoin has surged in recent months, making people with crypto holdings potentially lucrative targets for criminals. "Criminals go to where the money is, and we're seeing a huge rise in the price of bitcoin," Redbord said. "Before, you needed sophisticated cyber capabilities to hack someone, but now you can be a violent criminal who can beat [the password] out of someone." He added, "I don't think I've ever been as taken aback by this type of illicit activity in crypto." The crypto world also has a culture of flaunting wealth via social media posts or appearances at crypto conference, which allows criminals to easily identify potential targets. Bitcoin traded Friday at nearly $105,000 per token, according to CoinDesk — about 53% higher than a year ago. The digital currency has soared partly as people seek alternatives to put their money than traditional investments like stocks and bonds, and as the Trump administration takes steps to promote the use of cryptocurrencies, including establishing a "strategic crypto reserve." How to crack a wallet Cryptocurrency thefts aren't new, but they've typically involved hacking, such as a massive 2022 hack at crypto exchange Binance in which thieves initially stole $570 million, as well as multiple hacks by entities the United Nations found were linked to North Korea. In response to such threats, crypto owners often try and keep their private keys off the internet and stored in what are called "cold wallets." When used properly, such wallets can defeat even the most sophisticated and determined hackers. But criminals have realized they don't need any technical skills to steal crypto assets, Redbord said. All it takes is gaining access to a person's crypto account password, because there's no third-party financial institution standing in the way of accessing funds held in a digital wallet, he explained. Transactions on the blockchain, the technology that powers cryptocurrencies, are permanent. And unlike cash, jewelry, gold or other items of value, thieves don't need to carry around stolen crypto. With a few clicks, huge amounts of wealth can be transferred from one address to another. NYC crypto kidnapping The case in New York City is somewhat unusual because it involves crypto investors allegedly trying to steal the assets of another investor, Redbord said. In that case, investors John Woeltz, 37, and William Duplessie, 33, face charges of kidnapping, assault and unlawful imprisonment of the Italian tourist in an effort to steal his digital wallet containing bitcoin worth millions of dollars. Court papers allege that the pair held the unidentified 28-year-old victim for weeks in an apartment in New York City's fashionable Soho neighborhood. After the victim was abducted, he was shocked with electric wires, his leg was cut with a saw and he was forced to smoke crack cocaine, prosecutors allege. Items including a photo of a gun held to the Italian tourist's head were found in the apartment by investigators. Two New York City police detectives had been working security for the accused kidnappers, CBS News New York has reported. The detective have been placed on desk duty as police investigate. William Duplessie, who along with John Woeltz is accused of kidnapping an Italian tourist to steal his cryptocurrency holdings, is escorted out of the New York Police 13th Precinct after turning himself in on charges of kidnapping and false imprisonment, Tuesday, May 27, 2025, in New York. Yuki Iwamura / AP Such incidents have also occurred with increasing frequency in Europe and Asia. Several cases in France have mirrored the New York City attack, with French police arresting 20 people following several alleged kidnapping plots involving crypto investors and their families, the BBC reported earlier this week. In one case, a gang allegedly tried to kidnap the daughter and young grandson of a cryptocurrency company executive in Paris, while earlier this month the father of a crypto millionaire was rescued by police in Paris after he was kidnapped and held for ransom. Aside from keeping a lower profile, crypto investors can take other steps to make it tougher for criminals, Redbord said. One option is to require permissions from several people to access a wallet, for instance. In the meantime, criminals are taking note and may be pursuing similar crimes, he added. "They are seeing successes and trying to replicate these successes," Redbord said. contributed to this report.
Yahoo
16-05-2025
- Business
- Yahoo
‘Really Great Example': Coinbase Praised for Hack Response Amid $400M Crisis
The global head of policy at TRM Labs, a blockchain analytics firm that helps law enforcement investigate crypto fraud, shared that he believes Coinbase's handling of the latest hack is a 'really great example to other businesses in terms of how to handle' dealing with hacks of exchanges. At a panel at Consensus 2025, Ari Redbord discussed how easy it is for hacks to happen on crypto exchanges, as the industry is 'the perfect storm of weak cyber controls and ultimately it's a good target.' Coinbase shared earlier on Thursday that some of its staff had been bribed to steal their customers' data, and its founder Brian Armstrong had received a ransome note for $20 million dollars in bitcoin. The team shared in a blog post that because of the breach, it could pay up to $400 million in remediation costs to affected customers, and that they were setting up a $20 million bounty on any information related to the attackers instead. The news comes as the industry has experienced other major hacks, like Bybit which was hacked earlier this year for $1.5 billion, and defunct crypto exchange FTX in November 2022 for $400 million. Though these episodes seem to happen frequently, Redbord believes more regulatory involvement can alleviate some of these issues. 'There's a lot we can do with governments in order to go after these bad actors that have nothing to do with crypto or blockchain intelligence,' he said. 'We have cyber facilities.' Read more: Coinbase Could Pay Customers Up to $400M for Data BreachSign in to access your portfolio
Associated Press
14-03-2025
- Business
- Associated Press
TRM Labs and Magnet Forensics Join Forces to Merge Digital Forensics and Blockchain Intelligence
SAN FRANCISCO, March 14, 2025 (GLOBE NEWSWIRE) -- Magnet Forensics, a global leader in digital investigation solutions, has announced a joint strategic technology partnership with TRM Labs, a global leader in blockchain intelligence. This partnership will empower law enforcement and national security agencies to uncover critical blockchain evidence from seized devices analyzed in Magnet Forensics reports. Magnet Forensics has long been recognized for its advanced digital investigations solutions, enabling law enforcement, government entities, and enterprises to investigate and analyze digital evidence across a wide range of devices. Through this new partnership, Magnet Forensics will integrate capabilities from TRM's BLOCKINT API into its digital forensics workflows. This integration gives agencies investigating complex criminal enterprises a critical edge in tracking the rapid rise of illicit activity on the blockchain. 'By partnering with TRM Labs, we're empowering investigators with the critical insights needed to address the growing complexity of crimes with blockchain-related evidence,' said Braden Thomas, Chief Product and Research Officer at Magnet Forensics. 'Together, we are making it easier for law enforcement to connect the dots between digital and blockchain evidence, ensuring the truth is unlocked and justice is served.' Agencies leveraging Magnet Forensics to uncover blockchain evidence can enhance their investigations with a TRM Forensics license, enabling them to trace cryptocurrency transactions and combat illicit activities like fraud, money laundering, and cybercrime. This partnership expands access to TRM Labs' intelligence through Magnet Forensics' integration of TRM's BLOCKINT API, providing investigators with deeper insights into both digital forensics and blockchain-based financial systems. 'Criminal proceeds aren't just stashed in offshore accounts or hidden in walls anymore—they're sitting in crypto wallets on phones and laptops, sometimes worth billions. These wallets hold the keys to solving cases, but only if investigators have the right data and tools to act fast,' said Ari Redbord, Global Head of Policy at TRM Labs. 'Our partnership with Magnet Forensics delivers cutting-edge blockchain intelligence directly to digital forensics teams, equipping law enforcement to follow the money, seize assets, and dismantle criminal networks faster than ever.' This partnership is a key step in strengthening both organizations' capabilities, driving their shared mission to combat cybercrime and financial fraud in an increasingly digital and decentralized world. For more information, visit and Founded in 2010, Magnet Forensics is a developer of digital investigation solutions that acquire, analyze, report on, and manage evidence from digital sources, including mobile devices, computers, IoT devices, and cloud services. Magnet Forensics products are used by more than 5,000 public and private sector customers in over 90 countries and help investigators fight crime, protect assets, and guard national security. Contacts Rick Andrade About TRM Labs TRM Labs provides blockchain intelligence to help government agencies investigate and build cases for digital asset fraud and financial crime. TRM's blockchain intelligence platform includes solutions to follow the money, identify illicit actors, build cases, and construct an operating picture of threats. TRM is trusted by a growing number of leading agencies worldwide who rely on TRM for their blockchain intelligence needs. TRM is based in San Francisco, CA, and is hiring across engineering, product, sales, and data science. To learn more, visit
