“Pay or go to jail”: Crypto trader recounts alleged abduction, asset theft in Karachi

A cryptocurrency trader in Karachi has claimed that he was abducted, physically assaulted, and forced to transfer a significant amount of cryptocurrency from his digital wallets.

Talking to Dialogue Pakistan, Jan Sher Khan stated that he had recently won a trading competition on Binance. Although he did not receive a shield or medal, he remarked that the incident left him with a fractured arm and substantial financial losses, describing these as the "rewards" of winning the competition.

He estimated that he lost cryptocurrency assets worth hundreds of thousands of dollars.

According to his account, he was subjected to a short-term kidnapping. He alleged that he was held overnight at a house where his fingerprints were taken and his financial accounts were emptied. The following morning, he said he was released near Port Qasim.

Khan explained that he had been living in Karachi for several years and had recently relocated there permanently.

He was in the process of launching a trading institute, which was scheduled to begin operations the following Monday. On the night of the incident, he was returning home after shopping for household items in the Johar area.

He claimed that the attackers chased him, struck his motorcycle, and attempted to capture him. He resisted, leading to a physical altercation.

According to him, one of the assailants pursued him closely while carrying a rifle. When warning shots were fired from behind, he stopped out of fear for his life and surrendered.

The trader said that when he asked the kidnappers what they wanted, they told him that they were not interested in his belongings but wanted him to accompany them. Once inside the vehicle, he alleged that he was given an ultimatum: either pay money or go to jail.

He further claimed that the abductors attempted to create the impression that they were affiliated with a state institution, allegedly asking him whether he wanted to "go to jail like Imran Khan or pay money."

When he questioned their identity, one of the individuals allegedly displayed an identification card. However, the victim stated that although the card appeared to belong to a government institution, he does not believe any official agency was involved.

Instead, he suggested that the display of the card may have been intended to mislead him and divert attention away from the perpetrators.

He further alleged that all of his cryptocurrency wallets were emptied, while his bank accounts were left untouched, possibly because bank transactions are easier to trace. He claimed that the attackers focused exclusively on transferring funds from his digital wallets.

The victim also described sustaining multiple injuries during the incident. He stated that he was beaten with a baseball bat and other objects while resisting being forced into the vehicle. He reported swelling and injuries to his legs and said that he was also struck with a rifle.

Expressing his concerns about the perpetrators, the trader suggested that the individuals responsible may have had insider knowledge of the cryptocurrency community.

He believes they were familiar with his activities, portfolio, and professional profile, indicating that they may have been monitoring influencers and traders within Pakistan's crypto ecosystem.

In his appeal to the authorities, he requested assistance in recovering the stolen assets, stating that the loss of capital would severely affect his ability to continue trading and operating his business.

He emphasized that his trading activities generated substantial taxable income and argued that such crimes not only harm individual traders but also result in lost tax revenue for the government.