Bitcoin Stolen in Coldcard Hardware Wallet Hack Surpasses $88 Million
NEW YORK — The estimated value of Bitcoin stolen in the recent Coldcard hardware wallet hack has now exceeded $88 million, as attackers continue consolidating funds linked to a vulnerability in affected devices. The growing losses reflect both additional wallets being compromised and changes in Bitcoin’s market price.
The incident stems from a flaw in the wallet’s key-generation process that reportedly affected certain Coldcard devices, allowing attackers to reconstruct vulnerable private keys and drain funds from impacted wallets.
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Losses Continue to Rise
Initial estimates placed the theft at around 594 BTC, but blockchain tracking and subsequent reports indicate the total amount compromised has increased, pushing the estimated value of stolen Bitcoin above $88 million. The dollar figure has also been influenced by fluctuations in Bitcoin’s price.
What Happened?
Security researchers say the exploit was linked to insufficient randomness during seed generation on affected firmware versions. Wallets created under those conditions were vulnerable because attackers could derive their private keys and transfer the Bitcoin they contained.
Coinkite, the company behind Coldcard, has issued security advisories and urged users running affected firmware to update their devices and migrate funds to newly generated wallets created with patched software or additional entropy.
Impact on the Crypto Community
The breach has shaken confidence among hardware wallet users, as Coldcard had long been regarded as one of the most security-focused Bitcoin storage devices.
The incident has also renewed discussion around firmware auditing, seed generation security, and the importance of regularly reviewing wallet security practices.
Why It Matters
Hardware wallets are widely considered one of the safest ways to store cryptocurrency. This incident highlights that while keeping private keys offline significantly reduces many risks, software or firmware vulnerabilities can still create serious security issues if left undiscovered.
Conclusion
With the estimated losses now exceeding $88 million, the Coldcard hack has become one of the most significant hardware wallet security incidents in recent years. Investigations remain ongoing as affected users and security researchers continue to assess the full scope of the breach.
Tags: Bitcoin, Coldcard, Cryptocurrency, Hardware Wallet, Crypto Security, Coinkite, Blockchain, BusinessGeco, Coldcard, Bitcoin, hardware wallet, crypto hack, Coinkite, cryptocurrency security, Bitcoin theft, blockchain