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Coldcard exploit thefts reach about $88.6 million across 4,585 addresses

Galaxy Research says a newly identified third theft wave drained 207.73 BTC, bringing observed losses to roughly 1,367 BTC, about $88.6 million.

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Coldcard Bitcoin wallet thefts tied to a March 2021 firmware issue are still ongoing, with Galaxy Research tracking about $88.6 million stolen across 4,585 addresses in three waves, according to Decrypt.

Galaxy Research said the third wave drained 207.73 BTC and lifted its observed tally to roughly 1,367 BTC, or about $88.6 million, across the 4,585 compromised addresses. The firm described the sweeps as deliberate and likely programmatic, warning that every single-sig Coldcard address created after the 2021 firmware flaw will eventually be drained.

The report said the attack stems from a firmware build error on Coinkite devices that generated seed phrases with too little randomness, leaving private keys guessable. Galaxy Research said it flagged roughly 600 suspected attacker addresses to federal investigators, compliance firms, and cross-industry cyber investigators, crediting victims who shared transaction details for helping map on-chain patterns.

Researchers also noted the stolen Bitcoin often sat untouched for years before being taken, citing average dormancy of 3.18 years. Galaxy Research urged holders of single-signature funds on Coldcard-generated addresses to move them immediately, saying the theft activity is continuing.

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