Coldcard Hardware Wallet Flaw Linked to $70 Million Bitcoin Theft in 41 Minutes

A flaw in Coldcard hardware wallets, manufactured by Coinkite, was exploited to steal $70 million in Bitcoin within 41 minutes. The vulnerability stems from a deterministic PRNG used during seed generation, allowing an attacker to reconstruct Bitcoin addresses from a known seed. Coinkite released emergency firmware to mitigate the issue, urging users with exposed seeds to generate new ones and migrate their funds. The attack was linked to a similar weak PRNG flaw discovered in other wallets, resulting in millions of dollars in losses.