Crypto Trader in Pakistan Kidnapped and Coerced Into Transferring $340K

Jimmy Aki
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On December 25, 2024, 30-year-old Pakistani crypto trader Arsalan Malik was kidnapped and forced to transfer $340,000 (90 Million Pakistani Rupee) from his Binance account to several wallets controlled by his abductors before he was released.

An investigation led by the Pakistan Anti-Violence Crime Cell (AVCC) revealed that seven suspects were arrested in connection with the crime.

Pakistani Crypto Trader Was Allegedly Abducted in Fake Police Van

According to a local media report, Arsalan Malik was abducted outside his office in the Manghopir neighborhood of Karachi by a group of five individuals.

The kidnappers arrived in a vehicle resembling a police van, and after claiming to be officers from the Karachi Police, they forcibly took the Pakistani crypto trader, blindfolding him and transporting him to the Passport Office in Saddar. Once there, they threatened him at gunpoint, robbing him of his phone and 8000 Pakistani Rupees.

But the nightmare didn’t stop there. The abductors, intent on extorting a large sum of money, pressured Arsalan to transfer $340,000 from his Binance account to several wallets under their control. After forcing him to comply, the criminals released him hours later near the Quaid-e-Azam mausoleum.

Arsalan later reported to the police, stating that he could identify the men responsible for the abduction, as some of them had previously approached him weeks earlier seeking advice on crypto investments. His report identified some suspects, namely: Muzzamil, Hamad, Ashir, and Zaman.

In response, the police filed a case under Section 365-A (Kidnapping for Ransom) and Section 34 (Common Intention) of the Pakistan Penal Code. The investigation was transferred to the Anti-Violent Crime Cell (AVCC) for further action.

Arsalan, deeply affected by the ordeal, posted on Facebook to express his anguish over the stolen money. He condemned those who accused him of fabricating the story, stating that the investigation was personally overseen by the DIG.

He also assured that neither investors nor relatives were involved in the case and promised to reimburse any losses incurred by others.

The police continue to investigate, working to bring the perpetrators to justice and prevent further incidents of this nature.

Is the Abduction of Crypto Traders on the Rise?

The abduction of a Pakistani crypto trader and forced ransom transfer of $340K has raised alarms about the growing risk of crypto-related crimes.

This shocking incident comes on the heels of a similar case in Thailand, where a Ukrainian man was kidnapped and robbed of $250K in cryptocurrency.

On November 10, 2024, Ukrainian crypto trader Viacheslav Leibov reported being ambushed by armed men on a southern tourist island in Thailand. Leibov had been visiting a friend at a hotel when he was ushered into a room by an Armenian acquaintance, Arman Grigoryan.

Leibov recalled that after a brief conversation on the balcony, he went to the restroom only to be ambushed by two masked men. They bound him with ropes and demanded he transfer 500K worth of USDT to their designated crypto wallet, threatening to break his fingers if he didn’t comply.

In a desperate attempt to negotiate, Leibov managed to lower the amount to 250K USDT. After the transfer, he was tied to a bed and instructed to remain silent as the criminals fled the scene. Once free, the victim reported the incident to the Kamala police station, highlighting this rising crime strategy.

Popular blockchain investigator Zachxbt had previously noted a rise in crypto-focused home invasions, theft, and ransoms, warning traders to be cautious about sharing information regarding their holdings.

Recall that there was a spate of abductions of crypto users as well as crypto firm bosses in 2024. One of those was the kidnapping of a WonderFi leader, Dean Skurka, in Toronto, Canada, who was later freed after he reportedly paid a ransom of one million Canadian dollars (USD$720,660).

About Jimmy Aki PRO INVESTOR

Based in the UK, Jimmy is an economic researcher with outstanding hands-on and heads-on experience in Macroeconomic finance analysis, forecasting and planning. He has honed his skills having worked cross-continental as a finance analyst, which gives him inter-cultural experience. He currently has a strong passion for regulation and macroeconomic trends as it allows him peek under the global bonnet to see how the world works.