Cryptocurrency investor in New York accused of kidnapping and torturing an Italian man to steal "Bitcoin".

US authorities have leveled serious charges against a cryptocurrency investor from Kentucky, accusing him of kidnapping and torturing an Italian man for weeks inside a luxurious home in Manhattan's "Nolita" neighborhood in an attempt to extract the password to his Bitcoin digital wallet.

According to a statement from the Manhattan District Attorney's office, John Walton (37 years old) was arrested last Friday after the victim (28 years old) managed to escape the house and seek help from a traffic officer.

Walton was brought before a criminal court on Saturday, where he was charged with kidnapping, unlawful imprisonment, assault, and illegal possession of a firearm. The judge ordered Walton to be held in custody and confiscated his passport.

Case documents revealed that the victim arrived in New York from Italy on May 6 and headed to the house rented by Walton for $30,000 a month.

There, he was held captive by Walton and another man (whose identity has not been disclosed yet), his electronic devices and passport were confiscated, and he was asked to reveal his Bitcoin wallet password.

Upon refusal, he was subjected to brutal torture for 3 weeks, including beatings, electric shocks, and a gun pointed at his head.

The complaint stated that the suspects took the victim to the 5-story house rooftop, hung him on the edge, and threatened to kill him and his family if he did not disclose the password.

The victim managed to escape on Friday morning and sought help from the police, who raided the house and arrested Walton. The Italian was taken to the hospital, and reports indicate that he is in stable condition.

Another person accused of involvement in the kidnapping was also arrested, but his connection to Walton remains unclear, according to The New York Times.

Meanwhile, Wayne Ervin, Walton's lawyer, declined to comment on the charges.

The incident comes amid a rise in kidnapping and imprisonment crimes in New York, with two prominent cases occurring this spring. Last week, a couple in New Jersey was accused of imprisoning a girl in a dog cage for 7 years. In March, a 32-year-old man managed to escape after being held captive by his family for 20 years in a room before setting the house on fire.