Reversing stolen crypto transactions in practice is done the same way you reverse stolen cash transactions.
You find the criminal, and the cash and give back the cash to the wronged party. With cash, the criminal can hide the cash in some random location, and nobody can say if they spent it or they lost it. With crypto, everyone knows where the money is. You just have to figure out the passwords to the wallet in some way.
Right, my mistake for using too broad terms. I meant specifically electronic payments, which have this reversibility aspect that neither cash nor crypto have.
You find the criminal, and the cash and give back the cash to the wronged party. With cash, the criminal can hide the cash in some random location, and nobody can say if they spent it or they lost it. With crypto, everyone knows where the money is. You just have to figure out the passwords to the wallet in some way.