Coinkite Warns Coldcard Mk3 Owners of $38M Bitcoin Fund Risks

Coinkite has issued a security advisory for owners of its Coldcard Mk3 hardware wallet, warning that funds tied to certain firmware versions may be at risk. The company's alert comes after reports of nearly $38 million in Bitcoin being transferred from approximately 500 dormant wallets within 25 minutes.

The affected devices are those running firmware version 4.0.1 through 5.0.3, the final supported release for the Mk3. Coinkite CEO Rodolfo Novak stated that the company is treating the reports with urgency and has launched a deep investigation into the matter.

According to Coinkite's advisory, wallets protected with a BIP-39 passphrase appear to carry minimal risk. The company advised passphrase users to keep protecting their phrase and avoid entering it on untrusted devices or websites.