Hackers Drain Millions from Coldcard Wallets via Critical Security Flaw

Canada-based Coinkite Inc., manufacturer of Coldcard devices, has alerted users to a security flaw in the keys that protect their Bitcoin wallets. This vulnerability has compromised some wallets and allowed hackers to siphon tens of millions of dollars.

According to Galaxy Research, by Monday, roughly 1,367 tokens worth approximately $86 million had been drained from more than 4,500 wallets. Coinkite's notification came late last week, prompting users to take action to secure their assets.

The Coldcard devices are considered one of the safest places to store cryptocurrency due to their 'cold' nature, meaning they are not connected to the internet and thus less susceptible to hacking.