Crypto Market Crumbles as Bitcoin, Ethereum Prices Drop Amid Hardware Wallet Bug and Stablecoin Outflows
The crypto market started August 3 under pressure as Bitcoin and Ethereum prices dipped. According to TradingView, at 07:35 Moscow time, Bitcoin was trading around $62,917, while Ethereum was valued at about $1,860.
Market capitalization for the top 10 coins looked like this: BNB fell by -0.19% in 24 hours and -0.74% for the week; Ethereum dropped by -0.92% in 24 hours; and Hyperliquid saw a weekly decline of -12.89%, the worst among the top 10.
An old bug in seed phrase generation in Coldcard hardware wallets has raised questions about manufacturers' testing processes. Kraken's Chief Security Officer Nick Percoco called this case a wake-up call for the industry, highlighting the importance of security checks on hardware wallets.
Stablecoins have been flowing out of South Korea for 18 months straight, with $367 million in stablecoins leaving the country in June alone. This movement is linked to demand for foreign derivatives, tokenized real assets, DeFi products, staking, and large stablecoins like Tether.