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Analysis: Demand for Cryptocurrency Custody Services Rises Due to Increase in 'Wrench Attacks'
Summary: According to reports from Cointelegraph, recent 'wrench attacks' targeting cryptocurrency investors (obtaining private keys through physical coercion) have increased, driving up the market demand for professional custody services. Data shows a significant rise in such attack incidents since 2023, including cases like the kidnapping of Ledger's founder, drawing industry attention. Custody service providers like HashKey ...
According to reports from Cointelegraph, recent 'wrench attacks' targeting cryptocurrency investors (obtaining private keys through physical coercion) have increased, driving up the market demand for professional custody services. Data shows a significant rise in such attack incidents since 2023, including cases like the kidnapping of Ledger's founder, drawing industry attention. Custody service providers like HashKey report a noticeable increase in inquiries for asset custody services from high-net-worth individuals and family offices. Analysis indicates that while cold wallets offer full control, they also present a single point of attack, leading to increased adoption of solutions like multi-signature and multi-party computation (MPC). Industry experts believe that as regulatory frameworks improve and institutional custody solutions become more widespread, such physical attacks will decrease due to rising criminal costs. Some investors are already seeking professional security services to protect personal safety.
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Link: Analysis: Demand for Cryptocurrency Custody Services Rises Due to Increase in 'Wrench Attacks' [Copy]
