Trump Orders Govt Bitcoin Reserve Amid Coldcard Hack Fallout

President Trump has signed an executive order to establish a government reserve of Bitcoin. This move is significant, according to Alan Orwick, co-founder of Quai Network, who spoke with LiveNOW from FOX's Josh Breslow.

In related news, security researchers have identified a software flaw in the Coldcard, a handheld device used by many cryptocurrency investors to store their Bitcoin offline. The vulnerability may have allowed attackers to steal about $70 million from nearly 1,200 wallets in just 41 minutes on July 30, with suspected additional attacks pushing losses to almost $89 million.

Block's Bitcoin Engineering and Security team published a security advisory stating that the coding mistake in certain versions of Coldcard may have weakened one of the wallet's key security features. The company said it released its findings because it believes the attacks are still happening, though researchers cautioned they are continuing to study exactly how the vulnerability is being exploited.

Coinkite, the Canadian company behind the Coldcard, has since released a software update to prevent the problem from affecting newly created wallets. However, the company warned that simply installing the update will not protect people who already created a recovery phrase using the affected software.