Crypto user John Woeltz faces charges for alleged kidnapping, brutal Bitcoin password extortion

John Woeltz, a 37-year-old Manhattan-based crypto investor, is facing severe felony charges after allegedly kidnapping and torturing an Italian man in a desperate attempt to steal his Bitcoin wallet credentials. The disturbing case has sent shockwaves through New York’s financial and crypto communities, exposing the extreme lengths some may go to for digital wealth.

The alleged abduction and brutal torture

According to court documents, John Woeltz and an accomplice lured a 28-year-old Italian national to a luxury Soho townhouse, rented for $30,000 a month, under false pretenses. Once inside, the victim claims he was held against his will, beaten, and subjected to electroshock torture when he refused to hand over his Bitcoin passwords.

“He was dangled from the upper floors, cut with a saw, and forced to smoke crack cocaine,” said NYPD Detective Mark Reynolds in a press briefing. “This wasn’t just a robbery—it was sustained, calculated brutality.”

The victim, whose identity remains protected, escaped on May 24 after weeks of captivity and alerted authorities. Police recovered Polaroid photos allegedly documenting the abuse, strengthening the case against John Woeltz.

A not-guilty plea and unanswered questions

John Woeltz pleaded not guilty during his arraignment in Manhattan Criminal Court, where Judge Eric Schumacher denied bail, citing “extreme flight risk and danger to the community.” His next hearing is scheduled for May 28.

Meanwhile, a 24-year-old woman linked to the case was briefly detained but later seen walking freely in New York. Prosecutors have not yet clarified her role, leaving many to wonder if more arrests will follow.

“We’re still piecing together the full scope of this operation,” said Assistant District Attorney Lisa Moretti. “Was this a targeted attack, or part of a larger trend in crypto-related crimes?”

Rising crypto kidnappings: a global trend

The case against John Woeltz isn’t isolated. High-profile crypto investors and executives worldwide are increasingly becoming targets for violent crimes.

In France, authorities have ramped up protections for crypto entrepreneurs after a surge in kidnappings. David Balland, co-founder of Ledger, was abducted in January 2025 and held for ransom before a police rescue. Another unnamed crypto entrepreneur’s father was freed in a 2024 Paris raid.

“We’re seeing organized crime shift from traditional bank heists to crypto extortion,” said Interpol’s Cybercrime Division Head, Clara Voss. “The anonymity of digital assets makes tracking stolen funds nearly impossible.”

Crypto security: are investors taking enough precautions?

With cases like John Woeltz’s making headlines, security firms report skyrocketing demand for executive protection services.

“Our clients are hiring armed guards, installing panic rooms, and even relocating families,” said Max Carter, CEO of Infinite Risks International. “The fear is real.”

Yet, despite these measures, experts warn that personal security isn’t enough. “Hardware wallets, multi-signature approvals, and discreet wealth management are now survival tools in this industry,” said cybersecurity analyst Rachel Tan.

What’s next for John Woeltz?

As the legal battle unfolds, John Woeltz’s case could set a precedent for how courts handle violent crypto crimes. If convicted, he faces life in prison—a stark reminder of the dangers lurking in the shadows of digital fortune.

For now, the victim is recovering, but the psychological scars may last forever. “No amount of Bitcoin is worth this nightmare,” he told investigators.

Meanwhile, the crypto world watches closely, wondering: Who will be the next target?