Crypto’s New Weakness: How Government Databases Became a Coercion Playbook
When transparency laws meant to protect financial systems instead create new vulnerabilities, who is accountable for the fallout?
In 2024, a tax employee in Bobigny, France, sold government-compiled dossiers on cryptocurrency specialists, prison guards, and Vincent Bolloré to criminals for €800.
The data included addresses, phone numbers, and family structures, enabling a home invasion targeting a prison officer.
This case exposed how centralized identity databases—despite being government-controlled—can become tools for coercion and physical harm.
French tax databases grant employees access to granular identity data via internal software.
By 2024, 93 investigations had been launched for unauthorized database access. Meanwhile, Snapchat-based services offered €30 for vehicle registration lookups, €150 for wanted-persons checks, and €250 for vehicle un-immobilization, as reported by TF1.
These services highlight how identity data, once centralized, can be commodified and exploited at scale.
ENISA tracked 586 incidents affecting EU public administrations in 2024, with insider exploitation of government systems outpacing technical hacking.
France’s August 2025 decree removed business leaders’ home addresses from the RCS commercial registry but retained access for law enforcement and tax administration.
Separately, the French government proposed a 1% annual tax on crypto holdings exceeding €2 million, creating a centralized registry of high-net-worth individuals.
This registry, while intended for regulatory compliance, could become another vector for targeted attacks.
Look, the irony is stark: laws designed to increase transparency in financial systems are generating new risks. When identity data is centralized and accessible to insiders, it becomes a weapon—not just for financial coercion but for physical harm. The Bobigny case proves that the line between regulatory oversight and vulnerability is razor-thin.
⚠️ LEGAL DISCLAIMER: This article is for informational purposes only and does not constitute financial or investment advice.
