On 20 June 2026, Karachi‑based crypto trader and fintech influencer Jan Sher Khan was abducted, held overnight, and forced to surrender all of his digital assets, a loss that later proved to be roughly $600,000. According to reports, the attackers dragged Khan into a vehicle, kept him captive for the night, and threatened him with a rifle while demanding that he unlock his smartphone with his fingerprints. Once the phone was accessed, they transferred every token from his accounts and wiped the wallets, leaving him with no recoverable holdings.

The assault came on the heels of Khan’s brief rise to local prominence. Between 1 June and 8 June, he had won a Binance “Solstice” trading competition that rewarded participants with the highest purchase volume of the SLX token. The victory thrust him into the spotlight of the Pakistani crypto community, a status that appears to have attracted the attackers.

Khan sustained physical injuries during the kidnapping, reporting a fractured arm and severe bruising. The assailants also presented an institutional card and threatened to send him to jail “like Imran Khan,” a reference to the former Pakistani prime minister. Khan has publicly stated that he does not believe the kidnappers were linked to any Pakistani agency and suspects that they may have ties to military or law‑enforcement networks, warning that they belong to a larger, organized group targeting local crypto wealth.

Despite the severity of the incident, Pakistani authorities have yet to take decisive action. Overseen by the Ministry of Interior, law‑enforcement agencies have not launched a thorough investigation or arrested suspects. Khan has appealed to the government for immediate assistance, demanding the apprehension of the attackers, financial compensation to rebuild his wiped accounts, and the implementation of robust security measures for the crypto trading community.

The case unfolds against a backdrop of recent regulatory changes. In 2026 the Virtual Assets Act legalized cryptocurrency, and the State Bank of Pakistan repealed its eight‑year banking ban on crypto firms through BPRD Circular 10. While the legal framework now permits crypto operations, enforcement and protective measures for traders remain limited.

Binance, the world’s largest cryptocurrency exchange, has faced scrutiny for alleged money‑laundering activity and regulatory violations in other jurisdictions, but the company has not been implicated in Khan’s case. The incident underscores the vulnerability of crypto traders to both physical and cyber threats, especially in regions where regulatory oversight is still evolving.

Khan’s experience highlights the need for stronger law‑enforcement cooperation and clearer legal protections for digital asset holders in Pakistan. Until authorities respond, the crypto community remains exposed to similar risks. The case remains unresolved, with no arrests reported and no official investigation announced. Khan’s appeal for government action remains pending, and the broader implications for crypto security in Pakistan are still unfolding.