Coldcard Hardware Wallet Losses Now Estimated at $70M — Here's What Went Wrong and What It Means for Self-Custody
5h ago · 1 source
A Galaxy Digital analysis has raised the estimated Bitcoin losses linked to Coldcard hardware wallets to $70 million, significantly higher than earlier projections. The revised figure comes after deeper investigation into the scope of the vulnerability or incident affecting users of the popular cold storage device.
WHY IT MATTERS
Think of a hardware wallet like a personal safe for your Bitcoin — it's a physical device that stores your crypto offline so hackers can't reach it over the internet. Coldcard is one of the most well-known brands of these safes, trusted by many experienced Bitcoin users. This news means that a flaw or issue with Coldcard wallets has led to an estimated $70 million in Bitcoin being lost or stolen. For anyone new to crypto, this is a reminder that even the most trusted security tools aren't foolproof. It's like learning that a top-rated home safe brand had a defect that let burglars crack it open. It doesn't mean self-custody is bad, but it highlights the importance of doing your research, keeping devices updated, and considering backup security measures like multisig (requiring multiple keys to move your funds).
Read the full analysis with a CryptoBipto membership
Create a free account and subscribe to unlock deep-dive analysis on every story.
Get startedSOURCES
RELATED
Educational only — not financial advice.