Watch OS 1.0 Lacks Necessary Security Features To Deter Thieves
Unlike the iPhone, if someone steals your Apple Watch, they can easily reset the device (bypass the passcode), and pair it with a new iPhone logged in to a different iCloud account. In other words, it’s totally feasible to steal an Apple Watch and set it up on a different device as if you just purchased it from an Apple Store. …
The fact that the Apple Watch lacks Activation Lock is an encouragement to thieves. It means that they stand to make a higher profit, as the device that they’re stealing is totally usable for whoever decides to buy the stolen property. Even if the thief doesn’t plan on reselling the Apple Watch, they can simply decide to use it with their own iPhone.
Thieves typically don’t need any further encouragement to steal popular new products, though I think the likelihood of covert theft is much lower with the Watch given that it’s literally strapped to your wrist. Of course, mugging is always a possibility, and that can be dangerous. There’s no question that Apple needs to release a security fix as soon as possible. The good news is that I’ve heard they’re already on it.