Coldcard Wallet Attack Surges to $116M, Draining 1,816 BTC from 5,200 Addresses

Fourth wave of Coldcard exploits drains $116M total, with 449 BTC moved recently. High-frequency transfers suggest parallel scanning of compromised key spaces stemming from a 2021 firmware flaw.

Woofun AI reports that the Coldcard hardware wallet security breach has escalated to approximately $116 million in losses, involving the transfer of 1,816 BTC from more than 5,200 addresses. Galaxy Research identified a fourth wave of activity, moving roughly 449 BTC, with transaction rates hitting 13.8 per block—45 times the pre-incident baseline. Alex Thorn, head of Galaxy Research, characterized the event as "the fourth round of organized theft," noting patterns consistent with multiple groups scanning the affected key space simultaneously. The vulnerability originates from a 2021 firmware update that switched seed generation from hardware random sources to a predictable software model. Coinkite advises users who generated seeds on these devices to migrate funds to secure wallets immediately.