(NewsNation) — A cryptocurrency investor dubbed the “Kentucky Crypto King” was due back in a New York courtroom Wednesday after allegedly kidnapping and torturing a man for his Bitcoin password.
John Woeltz, who did not enter a plea at his initial court appearance, is being held without bail. He was the first suspect arrested in what authorities have described as a plot to steal cryptocurrency by force.
On Tuesday, a second man, 32-year-old crypto investor William Duplessie, turned himself in to police. He faces charges of kidnapping, assault, unlawful imprisonment and criminal possession of a weapon, police said.
Authorities said the two men lured their victim, a 28-year-old Italian national, to a Manhattan townhouse, bound his wrists and dangled him from a staircase, demanding access to his Bitcoin wallet.
The victim was allegedly held for nearly three weeks before managing to escape, bloodied and barefoot. He was taken to the hospital and treated for injuries.
Authorities are still searching for a third suspect.
Crypto investors increasingly targeted
The case reflects a growing global trend of violent crime targeting crypto holders. From Uganda to South Korea to Paris, high-profile attacks have been reported.
In one recent case, French prosecutors said masked gang members attempted to kidnap the daughter of a crypto businessman, according to the BBC.
According to Nefture, a computer security company, there were only seven reported violent crimes against crypto holders in 2022. So far in 2025, that number has surged to 27.
Experts say the anonymous nature of cryptocurrency, especially assets secured by private keys, makes holders vulnerable.
“Cryptocurrency that uses the blockchain has systemic risk of failure and theft because of something called a private key,” said Sean Worthington, CEO of RAIDATech. “This private key is like the https://www.kqzyfj.com/click-101419140-11167246en egg, and if anybody can get ahold of this private key, they can then steal all the money.”
Because blockchain accounts are publicly visible, criminals can easily identify potential targets. Once a theft occurs, the lack of regulation and anonymity in crypto transactions make recovery nearly impossible.
