A security exploit targeting Coldcard Bitcoin hardware wallets has grown into a much larger crisis, with total observed losses now reaching roughly $88 million as attackers continue to empty affected addresses, according to Galaxy Research.
A Widening Attack
Galaxy Research reported that a third wave of thefts has pushed the tally of stolen funds to approximately 1,367 BTC drained across 4,585 separate addresses. The scale of the losses has climbed steadily as researchers uncover more compromised wallets, suggesting the fallout from the exploit is far from contained.
The persistence of the attacks has alarmed the Bitcoin community, particularly because Coldcard devices are widely regarded as a gold standard for cold storage and self-custody. The steady drip of new drained addresses indicates the attackers still have access to vulnerable funds.
Losses have swelled to roughly 1,367 BTC across thousands of addresses, and the thefts show no sign of stopping.
What Users Should Know
The repeated waves of theft underscore the risks that can accompany even trusted hardware wallet setups, especially if devices or seed phrases have been compromised through supply chain issues, phishing, or malicious software.
Security researchers have urged holders to remain vigilant and to verify the integrity of their storage arrangements. Key precautions include:
- Confirming devices were sourced from official channels
- Ensuring seed phrases have never been entered on a connected device or shared online
- Moving funds to a freshly generated wallet if there is any doubt about security
As Galaxy Research continues to track the exploit, the final scope of the damage remains uncertain, and additional waves could push the total even higher before the attacks are fully halted.