As cryptocurrency adoption grows, so do the associated risks for holders. With a rise in physical attacks aimed at forcing individuals to surrender their crypto assets, security measures must evolve. A report from blockchain security firm CertiK revealed that 72 incidents of “wrench attacks” were documented in 2025, a significant rise from previous years. Europe has seen a surge in these crimes, where criminals employ intimidation or violence to achieve their goals.
In response to this alarming trend, SwissBorg, a European cryptocurrency investment platform, has introduced a new feature called “Withdrawal Protection.” This tool is designed to shield users from the dangers of physical coercion and extortion. Once activated, the feature imposes a non-bypassable waiting period on all crypto withdrawals, ensuring that even under duress, funds cannot be swiftly transferred out of the account.
The mechanics of the Withdrawal Protection feature are straightforward yet effective. Users can select a delay period ranging from 1 to 90 days, during which any outgoing transactions are frozen. This mandatory waiting period applies universally to all external withdrawals initiated after the feature is enabled. Notably, neither users nor SwissBorg”s support staff can expedite or cancel withdrawals during this time, reinforcing the feature”s protective intent.
Key aspects of Withdrawal Protection include:
- User-Set Delay: Users can choose a waiting period of 1 to 90 days for all external withdrawals once the feature is active.
- No Bypasses: Withdrawals cannot be expedited or canceled, even in emergencies, ensuring immediate asset transfer is impossible.
- Persistent Lock: If users decide to deactivate the feature, the change takes effect only after the same period elapses, meaning the lock remains in place until the timer runs out.
- Internal Usage Unaffected: Users can still trade and manage their portfolios without delay, as the time-lock only applies to withdrawals leaving the platform.
Experts note that Europe is currently a hotspot for physical crypto theft, with over 40% of global incidents reported there. France leads in these cases, surpassing the United States. As the cryptocurrency landscape evolves, the human aspect of security becomes increasingly crucial. Security measures that introduce delays can provide victims with essential time to seek help or escape a threatening situation.
Cyrus Fazel, co-founder and CEO of SwissBorg, stressed that traditional technical defenses are insufficient in today”s crypto environment. Fazel emphasized the importance of protecting users from real-world threats, stating that the Withdrawal Protection feature aims to provide users “time, control, and peace of mind” in scenarios involving coercion.
While the concept of time-delayed withdrawals is not entirely new, SwissBorg”s implementation takes it a step further. Competitors like Coinbase have offered similar features, but SwissBorg”s option for delays of up to 90 days represents an innovative approach. This additional friction could significantly enhance user security, albeit at the potential cost of liquidity.
Withdrawal Protection is part of SwissBorg”s broader strategy to create a multi-layered security framework. The platform already utilizes advanced technologies like multi-party computation (MPC) for key management and a Proof of Liabilities mechanism to ensure asset transparency. By introducing safeguards against physical attacks, SwissBorg acknowledges that security extends beyond digital realms.
The recent rollout of Withdrawal Protection highlights a growing emphasis on user safety in the cryptocurrency sector, moving beyond the technical aspects to address the very real risks of physical robbery. By empowering users with a self-imposed withdrawal freeze, SwissBorg aims to deter criminal activity and enhance overall security for its user base.
As the implementation of this feature begins, it remains to be seen how widely it will be adopted by SwissBorg”s users. However, its introduction is timely and indicative of a shift towards prioritizing personal security in the cryptocurrency space.
