Trump Orders Government Bitcoin Reserve Amid Coldcard Hack

President Trump has signed an executive order to establish a government reserve of Bitcoin. The move is seen as significant in the cryptocurrency industry, although the details are still scarce.

The news comes as security researchers at Galaxy Research revealed that hackers exploited a flaw in a popular Bitcoin storage device, Coldcard, stealing nearly $70 million from 1,196 digital wallets in just 41 minutes on July 30. The estimated losses have since risen to almost $89 million with two additional suspected waves of suspicious activity.

Coldcard's CEO Rodolfo Novak apologized for the firmware bug and urged customers to act immediately. He warned that simply installing an update would not protect users who already created a recovery phrase using the affected software, and instead recommended creating a brand-new recovery phrase using the updated software and moving their Bitcoin into the newly secured wallet.

Coinkite, the maker of Coldcard, has since released a software update to prevent the problem from affecting newly created wallets. However, the company emphasized that customers who used at least 50 private dice rolls are not affected by this specific flaw alone.