WonderFi CEO kidnapped and released after paying $720,000 ransom: report

The CEO of WonderFi, a major Canadian cryptocurrency holding company, was kidnapped during rush hour in Toronto and later released after paying a ransom of one million Canadian dollars, or about $720,000.

Dean Skurka was forced into a vehicle by the assailants on Wednesday, but was released unharmed after paying the money.

Skurka assures users of the safety of their funds

According to a report by CBC Toronto, the executive confirmed the incident in a statement Thursday, saying he had been involved in an “incident” but was safe. He also assured the public that WonderFi’s customer funds and data were safe and not affected by the reported hack.

Toronto police have confirmed that an investigation is ongoing, but have not released further details about the circumstances surrounding the situation. However, it’s worth noting that the alleged incident occurred on the same day that WonderFi announced its third-quarter earnings, during which the company reported a 153% increase in revenue compared to the same period last year. 2023.

As the crypto market continues its bullish momentum, with Bitcoin setting new records, incidents like this are becoming more frequent. Globally, cases of crypto-related kidnapping and extortion have increased.

Notably, the number one cryptocurrency recently hit a new all-time high, stopping just short of $77,000, following Donald Trump’s return to the White House and the latest rate cut by the US Federal Reserve.

Crypto-related kidnappings are on the rise

Jameson Lopp, co-founder and chief security officer of Casa, a company specializing in cryptocurrency security, confirmed that Skurka’s kidnapping marks the 171st case of suspects using physical violence to steal Bitcoin.

“The rates of these types of incidents tend to correlate with the exchange rate of Bitcoin,” Lopp told CBC. He explained that as the price of cryptocurrency increases, awareness of the space spreads throughout society. This attracts more people with criminal intent who are inclined to physically attack known cryptocurrency holders.

The security expert further explained that the decentralized and easily transferable nature of cryptocurrencies makes them attractive targets for criminals.

He also noted that while most victims of these crimes are ordinary people, high-profile figures, including wealthy early adopters, often fail to implement security measures that match their level of risk.

In Thailand, police recently arrested 12 people, including seven officers, involved in a kidnapping ring targeting a Chinese national for US$10 million. Meanwhile, authorities in Hong Kong rescued a 19-year-old from an attempted kidnapping involving the extortion of approximately $23,000 in crypto profits.

In a similar case in Vietnam, two individuals were sentenced to life in prison in 2023 after carrying out a kidnapping that led to the theft of $1.5 million in Bitcoin from their victim.

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