Coldcard Hack Sparks Wave of Preemptive Bitcoin Transfers

The recent Coldcard hack has sparked a wave of activity among long-dormant Bitcoin wallets. According to data, thousands of BTC in inactive coins that had been idle for five years or more moved in bulk immediately after the hack. This movement is likely driven by security concerns, with holders transferring assets preemptively.

One notable example is the '18TExP' wallet, which had been dormant since 2013 and contained 500 BTC worth about $31.3 million. The coins were transferred to a new wallet in what is believed to be a fund transfer driven by security concerns.

Data from CryptoQuant shows a clear jump in long-dormant coin movements following the Coldcard hack. On July 31, about 6,388 BTC that had been dormant for five to seven years was moved. On Aug. 3, about 935 BTC that had been idle for more than 10 years moved in a single day.

The Coldcard hack, which began on July 30, saw attackers exploit a vulnerability dating back to March 2021 and steal about $130 million worth of Bitcoin from Coldcard-generated wallets.