Crypto Investor Indicted for Kidnapping and Attempted Theft of Digital Funds

A Kentucky crypto entrepreneur is facing serious criminal charges after allegedly kidnapping and torturing an Italian tourist in a harrowing attempt to obtain access to his digital assets.

John Woeltz, 37, was arraigned in Manhattan criminal court on Saturday following his arrest the day before.

Prosecutors allege that Woeltz held a 28-year-old Italian man captive for more than two weeks in a $30,000-a-month luxury Soho townhouse.

The victim, who ultimately escaped and flagged down a police officer, told authorities he feared he would be killed if he remained.

According to law enforcement sources, the man said he was once Woeltz’s business partner but left the US following a falling out.

He returned to the country on 6 May—allegedly at Woeltz’s invitation—and was immediately abducted at the Prince Street brownstone by Woeltz and an accomplice.

The suspects allegedly seized his passport and electronics and demanded access to his Bitcoin wallet.

When he refused, he was subjected to prolonged physical abuse, including torture with a chainsaw and other brutal methods.

Woeltz has been charged with four felonies, including kidnapping for ransom, and has pleaded not guilty.

Judge Eric Schumacher ordered him held without bail, with a court appearance scheduled for 28 May.

A 24-year-old woman was also taken into custody but appeared uncharged the next day and was seen walking freely in New York.

Authorities have yet to confirm the nature of her involvement, the relationship between Woeltz and the victim, or whether any cryptocurrency was successfully stolen.

Grisly Scene Uncovered: Chainsaw and Polaroids Found

When officers from the NYPD’s 5th Precinct responded to the report of a kidnapping at a Prince Street townhouse, they discovered a harrowing scene: bloodstains, shattered furniture, and disturbing evidence scattered throughout the upscale, multi-million-dollar rental.

What they found painted a grim picture of sustained abuse and psychological torment.

Among the most chilling pieces of evidence were Polaroid photographs, allegedly showing the victim bound and gagged with electrical cords, and another image with a gun pointed at his head while tied to a chair.

Investigators say the 28-year-old Italian man had been subjected to repeated violence—shocked with a Taser, pistol-whipped, and even forced to ingest cocaine.

He told authorities that Woeltz, the accused, had threatened to mutilate him with an electric chainsaw unless he surrendered access to his cryptocurrency wallets.

The victim described being dangled from upper floors of the five-story building and receiving threats directed at his family.

Recovered at the scene were several incriminating items: a chainsaw reportedly bearing traces of blood, a bulletproof vest, night vision goggles, and a firearm.

Police also found an Apple AirTag, which had allegedly been placed around the victim’s neck to track his movements and prevent escape.

Despite the extreme trauma, the victim managed to flee the residence on Friday and alert police.

He was quickly taken to Bellevue Hospital, where his condition was reported as stable.

Woeltz was arrested at the scene—reportedly wearing a bathrobe—and now faces multiple felony charges including first-degree kidnapping, first-degree unlawful imprisonment, second-degree assault, and criminal possession of a weapon.

Authorities also arrested 24-year-old Beatrice Folchi, believed to be an accomplice in the kidnapping and abuse.

A third suspect, described as a male, remains at large and is currently being sought by law enforcement.

Investigators are also questioning two butlers employed at the property, who may have witnessed elements of the crime.

John Woeltz: The Man Behind the Gruesome Kidnapping and Torture

Before his name became linked to the disturbing kidnapping and torture case in Manhattan, Woeltz was recognised within crypto communities as a security-focused developer and early digital asset enthusiast.

As a former core contributor to Grin—a privacy-centric cryptocurrency—Woeltz played a key role in its formative stages.

He officially joined Grin’s core team in March 2020 after helping coordinate the project’s inaugural security audit and publicly spoke at Grincon 2019 about the vulnerabilities privacy projects face without stringent security measures.

However, his GitHub activity sharply declined after 2020, and his current connection to Grin remains uncertain.

Amidst a troubling rise in kidnappings and violence targeting crypto executives, one must ask: are some victims or potential targets turning to criminal acts themselves in a sick but ironic twist of fate?