Part of the CustodyStress archive of observed Bitcoin custody incidents
Physical coercion
Cases in this category involve custody arrangements that came under physical or behavioral coercion. Outcomes depend on whether structural protections — geographic key separation, multisig thresholds, or time-delay mechanisms — existed.
Coercion cases reveal a structural tension between custody security and custody survivability under threat. Setups that protect against unauthorized access — passphrases held in memory, keys distributed geographically — can also protect an attacker from being forced to act. Cases where coercion was resisted structurally involve multisig thresholds that cannot be met from a single location, or keys distributed across jurisdictions beyond immediate physical reach.
105 observed cases
Blocked
63 (60%)
Constrained
38 (36%)
Survives
1 (1%)
Indeterminate
3 (3%)
The trader transferred 4 BTC under duress.
Exchange custody
A well-known UK Bitcoin trader was the victim of a home invasion in July 2018. Attackers forced the trader to transfer all accessible Bitcoin from their primary
The victim transferred 2 BTC under duress.
Mobile or software wallet
A UK-based Bitcoin holder was targeted in December 2017 by attackers who had obtained their identity from a compromised cryptocurrency forum database. The attac
The victim transferred approximately 15 BTC before the attackers were identified
Mobile or software wallet
A prominent Bitcoin trader was targeted in May 2017 by attackers who had identified their holdings from public social media posts. The attackers obtained the tr
Physical coercion — exchange custody (2017)
Exchange custody
An exchange employee was targeted in June 2017 by an attacker who gained leverage through compromising personal communications. The attacker demanded that the e
The attacker used the SIM swap to bypass 2FA on the victim's exchange account
Mobile or software wallet
An August 2017 documented incident describes a Bitcoin holder SIM-swapped by an attacker who had obtained their phone number from an exchange data breach. The a
The total transferred was approximately 8 BTC.
Exchange custody
An October 2017 reported incident describes a Bitcoin business owner coerced by organised crime into transferring operational BTC to an attacker-controlled wall
The individuals attended the victim's home address and demanded Bitcoin at gunpoint.
Mobile or software wallet
A Bitcoin holder was approached by individuals who had obtained their identity from a compromised exchange database in November 2017. The individuals attended t
Physical coercion — exchange custody (2017)
Exchange custody
On 26 December 2017 Pavel Lerner, CEO of EXMO Bitcoin exchange, was kidnapped in Kyiv and held for ransom. The kidnappers demanded $1 million in Bitcoin. Lerner
The victim transferred approximately 10 BTC under duress before escaping.
Mobile or software wallet
A November 2016 forum case describes a Bitcoin investor kidnapped and held for 36 hours by people who demanded access to their exchange accounts and hardware wa
The victim transferred approximately 6 BTC to avoid harm.
Mobile or software wallet
A Bitcoin holder in an emerging market was targeted by a criminal gang who had obtained their name from a local exchange's leaked customer list. The gang threat
Physical coercion — exchange 2016
Exchange custody
A Bitcoin exchange account holder was targeted by an attacker who used stolen personal data to pass the exchange's identity verification and gain access to the
The attackers compelled them to transfer approximately 4 BTC via mobile wallet at
Mobile or software wallet
A Bitcoin holder was physically assaulted and robbed in May 2016 by attackers who had identified their holdings from social media posts. The attackers compelled
Physical coercion — exchange 2016
Exchange custody
A forum post from July 2016 documents a case where a Bitcoin trader's exchange account was compromised by a hacker who then contacted the trader demanding a ran
The attacker demanded 2 BTC or threatened to forward the communications to the trader's
Exchange custody
A 2016 documented case describes a Bitcoin trader who was blackmailed by an individual who claimed to have accessed private communications. The attacker demande
The former partner transferred approximately 5 BTC from the wallet while threatening to
Mobile or software wallet
A forum post from June 2016 describes a trader coerced into revealing wallet credentials by a former business partner who had insider knowledge of their holding
The victim transferred 2 BTC under duress.
Mobile or software wallet
A 2015 documented case describes a Bitcoin holder who was coerced by a domestic partner with access to their home computer. The partner threatened to publish pr
The victim transferred approximately 3 BTC under duress before reporting to police.
Mobile or software wallet
A Bitcoin holder was targeted by criminals who had identified their holdings through public forum posts. The criminals threatened physical harm to a family memb
The stranger demanded 3 BTC or threatened to report fabricated crimes to police.
Mobile or software wallet
A Bitcoin miner who had publicly celebrated passing 10 BTC on a forum was contacted by a stranger claiming to know their real identity and address. The stranger
Physical coercion — exchange custody (2015)
Exchange custody
An August 2015 case documents a Bitcoin trader who was held at gunpoint in their home and forced to initiate an exchange withdrawal. The attackers had advance k
Physical coercion — exchange custody (2015)
Exchange custody
A documented 2015 case describes a high-net-worth Bitcoin holder who was kidnapped and held until they provided exchange account login credentials. The kidnappe
Partial recovery of the extorted BTC was achieved.
Exchange custody
A Bitcoin business owner was targeted by organised criminals who threatened to release damaging personal information unless 10 BTC was transferred. The victim t
Physical coercion — software wallet (2014)
Mobile or software wallet
A documented 2014 forum case describes a user who disclosed their Bitcoin holdings during a social event. Subsequently they were approached by individuals deman
Blackmail coercion — software wallet (2014)
Mobile or software wallet
A 2014 case documents an early Bitcoin adopter who was blackmailed after an attacker accessed their email and discovered private communications about Bitcoin ho
Physical coercion — exchange 2014
Exchange custody
A documented 2014 case describes a user who was detained by local authorities in a country with limited rule of law and pressured to reveal their exchange login
Physical coercion — software wallet (2014)
Mobile or software wallet
Following Bitcoin's price recovery above $400 in late 2014, a forum case documents a user threatened with violence unless they transferred BTC to the attacker's
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