Coldcard Wallet Vulnerability Leads to Losses Near $114 Million, Small BTC Transfer Volume Hits New High Since FTX Liquidation

BlockBeats News, August 3, possibly due to the Coldcard hardware wallet vulnerability incident, the total amount of transfers below 1 BTC on July 31 reached 39,600 BTC, the highest level since the 2022 FTX crash; the number of active addresses on that day also surged from about 645,000 to nearly 1 million.

CryptoQuant believes that some holders are transferring their assets to other wallets or exchanges to seek safer custody rather than engaging in mass selling.

Galaxy Research stated that the first three rounds of attacks have stolen approximately 1,367 BTC, and signs of a suspected fourth round of organized attacks have been detected, involving around 448.73 BTC. If confirmed, the cumulative amount stolen due to the Coldcard vulnerability would increase to around 1,816 BTC, equivalent to approximately $114 million at the current price.

In response, Kraken's Chief Security Officer Nick Percoco stated that this event should serve as a "wake-up call" for the entire hardware wallet industry, calling for the establishment of an independent validation system for the random number generation mechanism.