A cryptocurrency investor has been charged with kidnapping and torturing an Italian man in an attempt to extract cryptocurrency passwords, according to authorities.
John Woeltz, 37, was arraigned in Manhattan criminal court on Saturday following his arrest on Friday.
Prosecutors allege that Woeltz held the 28-year-old victim captive for several weeks in a luxury townhouse in Manhattan’s upscale SoHo neighborhood, where he subjected him to brutal torture in an effort to access his Bitcoin.
How it happened
The victim, who arrived in the U.S. on May 6, reportedly escaped from the five-story rental property, valued at $30,000 per month, on Friday and alerted police. Officers later found Polaroid photographs in the residence that appeared to document the abuse.
Authorities say Woeltz, along with two accomplices, stole the victim’s electronic devices and passport and demanded his cryptocurrency login credentials. When the victim refused, they allegedly beat him, shocked him with electricity, pointed a gun at his head, dangled him from the rooftop, and even cut his leg with a saw.
The victim also claimed he was forced to smoke crack cocaine and was threatened with the death of his family, according to the New York Times.
Formal charges
Woeltz declined to speak with investigators and immediately secured legal counsel. He was formally charged with four felony counts, including kidnapping for ransom, and pleaded not guilty. Judge Eric Schumacher ordered him held without bail.
A 24-year-old woman was also taken into custody on Friday in connection with the case, though she was seen walking free on Saturday, and no charges against her were visible in the Manhattan criminal court’s online records.
Several aspects of the case remain unclear, including the nature of the relationship between Woeltz and the victim. Woeltz is expected to appear in court again on Wednesday.
Safety of executives and investors in the cryptocurrency industry
Executives and investors in the cryptocurrency industry are increasingly seeking personal security services as kidnapping and ransom cases continue to rise, particularly in France.
- On May 18, Amsterdam-based private firm Infinite Risks International reported a significant increase in requests for bodyguards and long-term protection contracts from high-profile figures within the space.
- French authorities have responded by introducing enhanced protections for crypto entrepreneurs and their families, including security briefings and priority access to police assistance.
- This comes amid a recent surge in kidnappings and ransom attempts.
- David Balland, co-founder of hardware wallet company Ledger, was kidnapped in January 2025 and held for ransom for several days before being rescued by French police.
In May 2024, the father of an unnamed crypto entrepreneur was freed after French law enforcement officials raided a location in a Paris suburb where he was being held hostage by organized criminals.
What you should know
Also in Africa, the founder of the cryptocurrency education hub Mitroplus Labs, Festo Ivaibi, was kidnapped at gunpoint on May 17 near his residence on Bunamwaya Road in Kampala, Uganda, and coerced into transferring $500,000 worth of cryptocurrency to his attackers.
According to an official statement from Mitroplus’s Afro Token Project on X, the kidnappers were armed, dressed in military uniforms, and falsely claimed to be security operatives of the Uganda People’s Defence Forces (UPDF).
The attackers allegedly forced Ivaibi to unlock his crypto wallets, initiating unauthorized transactions. A portion of Afro Token, a meme coin linked to Mitroplus Labs, was also sold under duress, resulting in further financial losses.