Global Crime Wave Forces Bitcoin Family to Go Underground

Despite the growing global concerns about kidnappings and assaults linked to digital assets, major players like Strategy continue to aggressively accumulate Bitcoin. In fact, Michael Saylor hinted at another purchase after a recent $1 billion stock offering. Meanwhile, the crypto community is pressuring Elon Musk to fully embrace Bitcoin as tensions grow between him and Donald Trump.

Bitcoin Family Overhauls Security

Didi Taihuttu, the patriarch of the well-known “Bitcoin Family,” implemented a sweeping overhaul of his digital asset security measures in response to the growing wave of violent crimes targeting cryptocurrency holders. The Taihuttu family famously committed to an all-Bitcoin lifestyle in 2017, and took drastic steps to safeguard their crypto assets by spreading their private key information across four continents. 

In a recent interview with CNBC, Taihuttu revealed that the family no longer relies solely on hardware wallets. Instead, they now employ a hybrid security model that includes blockchain-based storage systems and physically distributed components of their seed phrases.

Bitcoin Family

According to Taihuttu, their seed phrase has been encrypted, divided into four parts, and stored using a combination of fireproof metal plates and blockchain solutions. These plates are hidden in undisclosed physical locations worldwide. To strengthen the setup even more, Taihuttu altered some of the words in the seed phrase. This means that even if someone were to obtain part of it, they wouldn’t be able to access the assets without knowing the correct contextual modifications. He also pointed out that even under coercion, he could not give away more than what is immediately accessible on his phone or wallet, which contains only a small portion of their holdings.

(Source: CNBC)

The shift in strategy happened due to a surge in crypto-linked crimes. Over the past few months, there has been a disturbing increase in kidnappings, extortion, and violent assaults on crypto users around the world. Taihuttu and his family chose to stop posting real-time updates of their travels due to safety concerns, as threats from individuals who tracked their movements online became too serious to ignore. Although the family continues to live a global, nomadic lifestyle, they now take better precautions to shield their movements and protect their digital wealth.

Under their new model, about 65% of the family’s crypto assets are secured in cold storage, while their hot wallets, which are used for trading and daily expenses, are guarded using multisignature protocols. 

Between late 2024 and early 2025, several high-profile cases made headlines across the globe, including a January conviction of gang members in the UK for kidnapping and torturing a crypto investor. There was also a February case in Chicago where six men abducted a family and demanded $15 million in digital assets.

In March, popular streamer Kaitlyn Siragusa, who is known online as “Amouranth,” endured a terrifying home invasion where armed intruders demanded crypto transfers. One of the most alarming incidents occurred on May 13 in Paris, when three masked men tried to kidnap the daughter and grandson of Pierre Noizat, the CEO of French crypto exchange Paymium. Noizat’s daughter bravely resisted the attackers, and even managed to disarm one of them before bystanders intervened.

Strategy Signals New Bitcoin Buy

Despite this very concerning rise in crypto-targeted crimes, people and companies are still accumulating Bitcoin. Michael Saylor, the co-founder and executive chairman of Strategy, caused speculation of another major Bitcoin purchase after posting a cryptic message, “Send more Orange,” on X on June 8. Saylor is known for teasing Bitcoin acquisitions through posts like these, and if history repeats, Strategy could soon announce another buy.

The timing follows Strategy’s recent acquisition of 705 BTC between May 26 and June 1 for approximately $75 million at an average price of $106,495 per coin. This brought the company’s total Bitcoin holdings to 580,955 BTC, which is valued at roughly $61.4 billion. According to SaylorTracker, the firm is currently sitting on an unrealized profit of about $20.6 billion. This is a 50% gain on its Bitcoin investment.

Strategy’s aggressive accumulation continues to be fueled by capital raises, with the latest being a $1 billion stock offering. This greatly expands on its initial $250 million raise and is aimed at financing even more Bitcoin purchases as well as general corporate needs. 

The new offering includes 11.76 million shares of its 10.00% Series A Perpetual Stride Preferred Stock, priced at $85 each. After expenses, the company expects to net approximately $979 million. The preferred shares feature non-cumulative 10% dividends, appealing to institutional investors seeking yield while giving Strategy predictable financing to deepen its Bitcoin exposure.

The company’s bold approach makes it the largest known Bitcoin holder in the world, surpassing even the combined Bitcoin reserves of the United States and China. Strategy’s holdings are nearly 12 times bigger than those of the second-largest public Bitcoin holder, mining firm Mara Holdings. As a result, many investors now see Strategy as a de facto Bitcoin ETF alternative that offers direct exposure to the asset through corporate equity.

Elon Musk Pressured to Go All In on Bitcoin

Members of the Bitcoin community are also urging Tesla CEO Elon Musk to go all in on Bitcoin as tensions escalate between Musk and US President Donald Trump. The public feud became a lightning rod for crypto advocates, who see it as an opportunity for Musk to strike back by embracing Bitcoin more aggressively. 

Crypto analyst Will Clemente posted on X that “the best way for Elon to get back at Trump is by full porting Bitcoin.” JAN3 CEO Samson Mow directly called on Musk to adopt a Bitcoin treasury strategy and resume accepting BTC for Tesla purchases.

Mow also suggested that Musk’s space venture, SpaceX, offer launch discounts to customers who pay in Bitcoin. He said that it’s time to “force a hard money standard on the money printers.” This follows his criticism of Trump for failing to follow through after signing the Strategic Bitcoin Reserve executive order. He also pointed out that the US has yet to acquire more Bitcoin and risks falling behind other nations.

Mow even warned Musk to act before facing potential financial restrictions, and suggested that “at least do it before they freeze your fiat assets.” Others in the crypto space speculated that if Musk truly committed to Bitcoin, it would be on a massive scale. Boyd Cohen, CEO of Lomob, said Musk would likely pursue the biggest BTC treasury in the world and integrate Bitcoin across all his companies. He added that Musk could emerge as a leading global advocate for Bitcoin.

The backdrop to this renewed push for Musk’s Bitcoin alignment is a growing personal and political rift with Trump. Their feud reignited after Musk publicly criticized Trump’s tax bill on June 3 by calling it a “disgusting abomination,” and intensified when Musk warned that Trump’s proposed global tariffs could trigger a recession later this year. In response, Trump claimed that canceling Musk’s federal subsidies and contracts could save the government billions of dollars.

Musk has long shown interest in cryptocurrency,and  recently announced that X will roll out XChats, a messaging feature with “Bitcoin-style encryption.” Although Tesla discontinued Bitcoin payments in 2021 due to environmental concerns, the company still holds digital assets, though the value of its holdings fell from $1.076 billion to $951 million in the first quarter of this year.