Four members of a Mexican musician's household were killed in what prosecutors describe as a robbery plot aimed at a Bitcoin cold wallet the attackers believed held cryptocurrency worth millions of dollars.

Jonathan Meléndez, his pregnant wife, their three-year-old daughter and a household worker died in the September 1 attack in Atizapán de Zaragoza, in the Estado de México. Meléndez's six-year-old son survived the assault; the family's dog was also killed.

Prosecutors Allege Cold Wallet Was the Target

Estado de México prosecutors have arrested two suspects, identified as Diego Sebastián "N" and Gerardo "N", in connection with the killings. Investigators allege that Diego Sebastián had a business relationship with Meléndez and used that connection to gain access to the residence.

A cold wallet generally refers to cryptocurrency storage in which private keys are kept offline rather than maintained on an internet-connected service. Control of the assets therefore depends on access to the relevant keys or recovery credentials, although authorities have not said what form of access the suspects allegedly sought in this case.

According to prosecutors, the suspects' arrival was reconstructed using surveillance footage, witness testimony and evidence gathered during the investigation. The pair allegedly believed Meléndez controlled a cold wallet containing Bitcoin worth millions of dollars, and Diego Sebastián had allegedly promised Gerardo two million Mexican pesos for helping recover the crypto. Investigators are still working to determine whether any digital assets were transferred after the killings.

Authorities have not publicly established how much Bitcoin Meléndez actually controlled, or whether the wallet the suspects were seeking was ever recovered. Prosecutors instead place the believed existence of the crypto holdings at the center of the alleged robbery motive.

The two men were arrested within hours and later transferred to the Barrientos prison in Tlalnepantla. Both stand accused of qualified homicide involving four victims, unlawful termination of a pregnancy and animal cruelty.

Physical Crypto Attacks Have Stolen More Than $30M in 2026

The case fits into a growing category of crime in which attackers target the person controlling cryptocurrency rather than attempting to compromise a blockchain, an exchange or a wallet application. More than $30 million has been stolen through violent crypto attacks during 2026, according to Chainalysis, which recorded 46 incidents through late June. Home invasions accounted for 37% of documented cases, while kidnappings represented 52%. Family members and associates have increasingly become targets themselves.

In a related case, a customer of both Kraken and Coinbase lost approximately $6.7 million in May after attackers apparently forced access to exchange accounts. Separately, U.S. prosecutors have charged three men over an alleged $245 million Bitcoin robbery plot that targeted relatives of a person connected to a major crypto theft.

Suspects Face Up to 70 Years Per Victim

A judge has ordered both defendants to remain in preventive detention while the criminal proceedings continue. The homicide charges carry potential sentences of 25 to 70 years for each victim, while the pregnancy-related and animal-cruelty charges carry additional possible prison terms.

The court extended the initial constitutional period at the defense's request before deciding whether the two men should formally proceed to trial.

A continuation hearing is scheduled for September 9 at 9:30 a.m., when the court is expected to determine whether Diego Sebastián and Gerardo will be formally bound over for prosecution.