Code & Chain · Signal Desk

Coldcard Vulnerability Causes Bitcoin Losses to Rise to $88.6 Million as Third Wave of Attacks Hits

2026-08-03CryptoFeatureLast updated: 3 Aug 2026, 7:11 am
Original sourcecrypto.newsAdditional: ainvest.comAdditional: LA Times Now

Summary

Galaxy Research updates Coldcard-related Bitcoin losses to 1,367.05 BTC (approx. $88.6 million), affecting 4,585 addresses across three attack waves on July 30-31. Root cause is a Coinkite firmware flaw that uses a software PRNG instead of hardware RNG for seed generation, reducing effective entrop…

Key points

  • If you use a Coldcard wallet, immediately update firmware and migrate seeds to prevent asset theft.
  • Vulnerability impacts many Bitcoin holders, revealing hardware wallet security risks.
  • Users must check firmware version, generate new seeds, and transfer funds; long-term focus needed on entropy source reliability in hardware wallets.
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