Coinbase and Gemini report sharp increases in executive protection costs as kidnappings and home invasions target industry leaders.
Cryptocurrency exchanges and executives are escalating security spending in response to a surge in physical threats, including kidnappings and so-called wrench attacks. Coinbase disclosed $8.7 million in 2025 for CEO Brian Armstrong’s protection, up from $6.2 million the prior year, according to regulatory filings.
The trend reflects broader risks facing high-profile figures in the sector. Gemini’s latest filing reveals monthly payments of $400,000 to Winklevoss Capital Management for executive protection, secure transport, and risk advisory services for its leadership and families. Industry observers link the rise in incidents to the sector’s growing wealth concentration.
No immediate market reaction was reported, though analysts note the costs may pressure margins for publicly traded firms.