Coldcard Hackers Send Stolen Funds Through Crypto Mixers

The Coldcard hardware wallet exploit has resulted in significant losses for its users. Galaxy Digital has estimated that at least $100 million worth of Bitcoin has been drained across three verified attack waves, with a potential fourth wave that could raise total losses to around $130 million. The stolen funds are showing early signs of laundering, with CertiK reporting that approximately 64 BTC and 200 ETH have been sent to well-known mixing services Wasabi and Tornado Cash.

CertiK's blockchain monitoring has connected specific transfer activity to the Coldcard exploit and mapped part of the flow into privacy and obfuscation tooling. The Bitcoin transfer was sent to the Wasabi mixing protocol on Tuesday, while the 200 ETH were sent to Tornado Cash on Wednesday.

Mixing services like Tornado Cash operate by pooling deposits from multiple users and then releasing funds in a way that breaks straightforward onchain tracking from original sender to final recipient. This makes tracing more difficult and asset recovery less likely, especially when attackers move quickly and fragment funds across multiple addresses and services.