Coldcard Exploit Sparks Bitcoin Flight as Crypto Consolidation Accelerates
Coldcard users lost an estimated $88.6 million in Bitcoin due to an exploit targeting the hardware wallet's seed generation process, which did not employ a genuinely random number generator.
Alex Thorn, Galaxy Digital's head of firmwide research, warned that the attack was still ongoing and urged users to move funds from Coldcard-generated addresses immediately if they had not already done so.
The Clarity Act, a bill aimed at preventing elected officials from endorsing or profiting from crypto projects, is facing a deadline with no vote in sight. The Democrats want the State Attorney Generals to enforce it instead of the Department of Justice.
Crypto companies are reporting disappointing earnings, including Coinbase's 19% drop in net revenue and Strategy's $8.22 billion loss driven by unrealized losses on its Bitcoin holdings.