Data Breaches Expose Cryptocurrency Owners to Increased Risks: A Warning for Hardware Wallet Users

Data Breaches at Shipping Partners Put Crypto Owners at Risk

In a troubling turn of events, data breaches at two prominent shipping companies have exposed thousands of cryptocurrency owners to heightened risks, particularly those using physical hardware wallets. The breaches, affecting Trezor and SafePal, have raised alarms about vulnerabilities in the tech ecosystem that underpins the burgeoning crypto industry.

In recent weeks, both hardware wallet manufacturers disclosed that their customers’ personal data—including names, home addresses, email addresses, and phone numbers—was compromised during separate incidents involving their shipping partners. While the integrity of the hardware wallets themselves remains intact, the breaches have revealed a significant flaw in the supply chain, putting high-net-worth crypto holders in jeopardy.

The stolen information could facilitate “wrench attacks,” a term used to describe violent attempts to extract sensitive information, such as the seed phrases that grant access to cryptocurrency holdings. These physical assaults are on the rise, with blockchain security firm CertiK reporting a staggering 75% increase in such incidents in 2025 compared to the previous year. Criminals have reportedly stolen upwards of $40 million through these means, with tactics including home invasions and kidnappings aimed at coercing victims into revealing their crypto access codes.

With knowledge of a victim’s seed phrase, attackers can irreversibly seize control of their cryptocurrency on the public blockchain, making the stakes alarmingly high for those affected.

In light of these breaches, Trezor and SafePal have urged their customers to remain vigilant against phishing attacks, which often target individuals through their compromised email addresses and phone numbers. These scams aim to trick users into divulging sensitive information, further exacerbating the risks posed by the data breaches.

Adding to the woes of the crypto community, a separate incident earlier this month saw hackers pilfer over $130 million in cryptocurrency directly from Coinkite’s Coldcard hardware wallets. The attackers, still unidentified, managed to exploit a vulnerability in the wallet’s code, allowing them to predict customer passwords and access funds stored on the blockchain—despite the wallets themselves never being connected to the internet.

One victim lamented on social media that they had taken all necessary precautions, only to be thwarted by a single line of vulnerable code from 2021. “None of it mattered,” they wrote, highlighting the precarious nature of security in the crypto space.

As the cryptocurrency landscape continues to evolve, these incidents serve as a stark reminder of the importance of robust security measures—not just for wallets, but for the entire tech ecosystem that supports them. Crypto owners are urged to stay informed and proactive in safeguarding their assets against an increasingly sophisticated array of threats.