Coldcard Bitcoin Thief Tracked Via Major Blockchain Provider

A massive security breach targeting Coldcard wallets has taken a new turn. Investigators noticed unusual patterns in how the stolen Bitcoin moved across the network. A payment engineer from Block stated that the attacker used a paid account at a well known blockchain services provider to plan and execute the theft. Authorities have already been notified about these findings.

The exploit first came to light after over $70 million in Bitcoin vanished from user wallets. Coinkite later confirmed that a firmware bug in their hardware devices caused seed generation to rely on a weak software random number generator instead of true hardware randomness. This flaw made private keys predictable and easy to brute force for single signature wallets.

Security experts and researchers at Galaxy Digital are now urging users to move their funds out of single signature Coldcard addresses and into more secure custody options immediately. Because the vulnerability affects multiple models, traders and holders need to act fast to protect their assets from further losses.