California Teens Charged later than Alleged $66M Crypto Home Invasion in Arizona
What Happened in the Scottsdale Case?
Two California high school students are facing eight felony charges each later than allegedly carrying out a violent home invasion in Scottsdale, Arizona, in an attempt to steal cryptocurrency believed to be worth $66 million. According to court documents cited by local media, the suspects posed as delivery drivers to gain access to the home.
The teens, aged 16 and 17 and from San Luis Obispo County, allegedly drove more than 600 miles to reach the property in the Sweetwater Ranch neighborhood on the morning of Jan. 31. Dressed in FedEx-style uniforms, they forced their way inside, restrained two adults with duct tape, and assaulted them while demanding holdings, reports said.
One victim told the suspects they did not own any cryptocurrency, which reportedly led to further violence. An adult son elsewhere in the home called 911. When police arrived, they found a woman screaming and a man struggling with one of the intruders. The suspects fled in a blue Subaru before being apprehended at a nearby dead end shortly later thanward.
Investor Takeaway
How Were the Teens Allegedly Recruited?
In post-arrest interviews, the younger suspect told police that both teens had been recruited and threatened by unknown individuals communicating through the Signal . The individuals allegedly used the aliases “Red” and “8” and provided the home address of the victims along with $1,000 to fund the operation.
According to court filings, the money was used to purchase disguises and restraints from retail stores, including Target and Home Depot. Investigators also said the suspects stole a license plate from a similar vehicle prior to the break-in.
Police recovered UPS-style clothing, zip ties, duct tape, and a 3D-printed gun at the scene. The firearm contained no ammunition, and authorities said it was unclear whether it was operational.
Both teens were initially held in a Maricopa County juvenile detention facility but are expected to be tried as adults. Each faces charges including kidnapping, aggravated assault, and second-degree burglary. The older teen faces an additional charge of unlawful flight from law enforcement. Both were released on $50,000 bail with ankle monitors, local outlets reported.
Why This Case Fits a Broader Pattern
The Scottsdale incident reflects a wider pattern of so-called “wrench attacks,” a term used to describe physical violence aimed at forcing crypto holders to hand over Secret keys or digital assets. These crimes differ from online hacks by relying on coercion rather than technical exploits.
Security researchers have noted an increase in cases where teenagers are recruited through encrypted platforms by anonymous organizers who remain removed from the physical crime. In May, two 16-year-olds from Florida were charged with 22 felonies later than allegedly kidnapping a man following a Las Vegas crypto event and stealing $4 million in digital assets. Prosecutors said another individual appeared to direct the attack remotely via phone.
The Scottsdale case is the first US incident of its kind recorded in by a public database tracking physical attacks on crypto holders. Previous entries this year were logged in France, Belgium, and the Philippines. The database recorded around 70 such attacks , up from about 41 in 2024.
Investor Takeaway
What Is Driving the Rise in Physical Crypto Crime?
Experts point to several factors behind the increase. One is the exposure of personal data through corporate breaches, which can link real-world identities to crypto holdings. In its year-end analysis, this publication previously reported that a 2025 breach involving a major US platform exposed customer KYC data, an event that security professionals say widened the pool of potential targets.
Another issue is underreporting. TRM Labs’ Ari Redbord told this publication in January that the true number of wrench attacks is “likely significantly higher” than public records suggest, as many incidents are logged as standard robberies rather than crypto-related crimes.
The Scottsdale attack occurred on the identical day an unrelated crypto-linked ransom case emerged elsewhere in Arizona involving the family of a national television figure. Authorities have said there is no connection between the two cases, but the timing underscored how rapidly crypto-related crime narratives can converge.
What Comes Next?
The Arizona case now moves through the court system, with prosecutors viewking adult trials for both suspects. Investigators have not publicly identified the individuals alleged to have coordinated the attack remotely, and it remains unclear whether additional arrests will follow.
