Suspected 4th Coldcard attack wave sweeps 448 Bitcoin: Galaxys Thorn

Update (Aug. 3 at 4:19 am UTC): This article has been updated with the latest estimated number of affected addresses and Bitcoin from Galaxys Alex Thorn.  Coldcard users are being warned of a new wave of coordinated thefts targeting their Bitcoin hardware wallets, coming just days after the first wave of attacks on Thursday.  In an X post on Monday, Galaxy research head Alex Thorn flagged hundreds of transactions impacting 709 potential victim addresses, moving around 448.7 Bitcoin (BTC).  Thorn said the activity averaged 13.8 sweeps per block, around 45 times the rate observed in a pre-incident control window. Most transfers have seen a fresh destination created for each victim rather than converging on a central collection wallet.  Some funds have already been swept into second hop addresses, he said.  Related: Coldcard Bitcoin loss estimate rises to $70M after Galaxy analysis  “These are LIKELY Coldcard victims — they match the shape of coldcard vulnerable utxos and the elevated transaction pattern gives me high confidence they are another wave of attacks,” said Thorn.  The researcher said there are similar transactions in the mempool waiting to be confirmed. Affected users who control the relevant keys may be able to broadcast a conflicting transaction with a higher fee to move

08-03انڈسٹری

Coldcard‘s 5-year flaw reveals hardware wallet testing gap: Kraken’s security chief

Coldcards five-year seed-generation flaw has exposed a broader weakness in how hardware wallets are independently tested, according to Kraken chief security officer Nick Percoco.  In an X post on Sunday, Percoco said the incident should be a “wake-up call” for hardware-wallet makers, calling for independent testing to verify that the approved source of randomness is the one actually used by production firmware.  “Consumers are asked to trust a manufacturers implementation of the single most critical function in the system, with no independent verification that the approved entropy path is the one actually executing,” said Percoco.  His comments follow an ongoing attack that is believed to exploit weak seed phrases generated by affected Coldcard devices. As of Sunday, over 4,500 addresses have been impacted, draining nearly $90 million in Bitcoin.  Coldcard RNG flaw remained undetected for five years  On Thursday, Coinkite disclosed a software flaw that has existed since March 2021, when Coldcard changed its seed-generation process as it integrated a new cryptographic library.  The migration inadvertently routed wallet creation to a weaker MicroPython generator that existed in the codebase, rather than Coldcards intended true random number generator (TRNG).  “The bulk of randomness on the COLDCARD was coming from a PRNG that I didnt know was actually in

08-03انڈسٹری

Kalshi and Polymarket's combined volume reaches all-time high in July, surpassing $50 billion

Quick TakePolymarket, Polymarket US, and Kalshi saw their total volume reach $50.6 billion in July, marking a 7.7% growth month-over-month.Notably, Polymarket US‘s volume rose 54% while the main Polymarket platform’s volume fell 26% compared to June.  Kalshi and Polymarket saw their combined trading volume soar to a new all-time high in July as prediction markets continued to gain steam around the World Cup.  According to The Blocks data dashboard, Kalshi, Polymarket, and Polymarket US posted $50.59 billion in combined monthly trading volume in July, marking a 7.8% increase from Junes $46.95 billion monthly volume.  Kalshi remained in the lead, and recorded $37.7 billion in the past month. This marks a 14% month-over-month growth.  Notably, the monthly data indicates a shift in volume between Polymarket and Polymarket US. While Polymarkets monthly volume contracted 26% to $7.9 billion, the U.S. platform saw its volume rise 54% to $5 billion. The combined volume of Polymarket and Polymarket US decreased from $14 billion to $12.9 billion.  The U.S. platform, regulated by the Commodity Futures Trading Commission, dropped its initial waitlist restrictions in May, opening the platform to all U.S. users. This allowed U.S. traders who had previously bypassed regional blocks to participate legitimately on the platform.  Earlier this year, Rutgers

08-03انڈسٹری

CLARITY Act faces Wednesday deadline for Friday vote

The CLARITY Act was absent from the U.S. Senate‘s published schedule for Monday, Aug. 3, leaving lawmakers with only days to begin floor proceedings before the chamber’s summer break.  The official Monday schedule lists a 5:30 p.m. vote on cloture for the motion to proceed to H.R. 6500, a vehicle for a continuing resolution. It includes no scheduled action on H.R. 3633, the Digital Asset Market Clarity Act. The Senates cloture ledger, updated through July 31, also records the July 30 filing for H.R. 6500 but no CLARITY Act petition.  The absence does not formally block the crypto market-structure legislation. However, it leaves Senate leaders without a publicly confirmed vehicle or procedural timetable before the Senate begins its tentative state work period on Aug. 10. That break is scheduled to run through Sept. 11.  CLARITY Act Absent from Mondays Senate Schedule, Facing a Critical 72-Hour Window Before Recess  Mondays Senate schedule lists only a vote on a spending bill, with no action on the CLARITY Act. If an ordinary cloture motion is filed on Wednesday, Aug. 5, the Senate could hold a… pic.twitter.com/Y9J8Xd8WKT  — Wu Blockchain (@WuBlockchain) August 3, 2026  CLARITY Act needs a Wednesday filing for Friday action  Under the Senate‘s ordinary Rule XXII process, a

08-03انڈسٹری

Coldcard exploit sparks Bitcoin flight, ‘bullish’ crypto consolidation: Hodlers Digest, August 2

Cold storage fears after Coldcard users lose $90M in Bitcoin  After $90 million in Bitcoin was drained from Coldcard wallet users, small hodlers desperately sought refuge on centralized exchanges and via alternative custody methods.  Bitcoin transfers below 1 BTC climbed to their highest daily level since 2022 on Friday, with 39,600 BTC moved, according to data shared by CryptoQuant head of research Julio Moreno on Saturday.  The figure was just 300 BTC below the 39,900 BTC transferred on Nov. 16, 2022, days after FTX filed for bankruptcy.  Galaxy Research, the research arm of crypto investment company Galaxy Digital, reported Saturday that the third wave of attacks on users of the hardware wallet on the weekend brought estimated losses to 1,367 BTC ($88.6 million) across 4,585 addresses.  Alex Thorn, Galaxy Digitals head of firmwide research, warned in an X post on Sunday that the attack was still ongoing and urged users to move funds from Coldcard-generated addresses immediately if they had not already done so. The exploit reportedly targets a flaw in the Coldcard seed generation process, that did not employ a genuinely random number generator.Source: Alex Thorn  Clarity Act clock running out: No vote, or ‘no’ vote?  President Donald Trump is considering a revised ethics proposal for

08-03انڈسٹری

A tiny cluster of Solana bots unlocked a 3x trading advantage by routing through one proprietary protocol

New research into automated trading on Solana found a nearly threefold difference in positive wrapped SOL outcomes inside one small group of bots. Transactions that invoked HumidiFi, which the paper classifies as a proprietary automated market maker, recorded a positive WSOL balance change about 62.3% of the time. Other transactions in the same 12-address group did so at a 21.01% rate.  The comparison covered 244,733 HumidiFi-invoking transactions, including 152,502 with a positive WSOL balance change, and 218,678 other transactions, including 45,949 with a positive change. The rate ratio was about 2.97.  The edge appeared in one narrow cluster  The ASE 2026-accepted paper examined 200 addresses associated with two trading-oriented bot services on the Solana network. The researchers selected the top 100 addresses linked to Trojan and the top 100 linked to SolanaMevBot, then collected their transactions from Oct. 1 to Nov. 1, 2025. They grouped 158 addresses into four clusters using measures such as transaction intensity, execution success, fees, and asset breadth, while treating 42 addresses as noise.  The paper also studied 586 public bot repositories, but that software sample was built separately and cannot be connected to the 200 on-chain addresses. Its authors published a replication package through Zenodo.  Transaction-pattern reviews and service labels

08-03انڈسٹری

Bitcoin under pressure: Will rising U.S. treasury yields trigger BTC selling?

The crypto market has stayed under pressure as capital steadily drains out of the space, and total market capitalization for digital assets now hovers near $2.17 trillion while valuations struggle to find a floor.  Fragile economic conditions and the prospect of fresh action from the Federal Reserve remain a key threat to the outlook, and either one could weigh further on price performance across the board.  Rate hike could be next  Crypto analyst Benjamin Cowen expects the U.S. 10-year Treasury yield to keep gaining strength and sees a high chance of it reclaiming the 5% mark in the near term.  A rising yield reflects instability in an economy, particularly around inflation, and Cowens prediction lands as the U.S. 30-year bond yield crossed 5.28% on the 31st of July, one of its highest levels since 2007.  Source: TradingViewBenjamin Cowen  The climb has been building for weeks, drawing investors toward lower-risk assets and steadily pulling capital away from bets like Bitcoin [BTC]. Cowen noted lowering rates does not automatically translate into lower yields, and he pointed to 2024-2025 as his case study.  The Fed cut rates from 5.5% to 3.75% from 2024-2025 and yet the 30 year yield is higher today than when interest rates were 5.5%!  He ties the

08-03انڈسٹری

CLARITY Act vanishes from Mondays Senate schedule, triggering 72-hour countdown to save it before recess

The Senates published floor plan for Monday contains no action on the CLARITY Act. Instead, senators are due to reconvene at 3 p.m., with the only listed roll-call vote at about 5:30 p.m. on cloture for the motion to proceed to H.R. 6500, a continuing-resolution vehicle.  The chamber‘s cloture ledger, updated through July 31, likewise shows the July 30 filing on H.R. 6500 but no entry for H.R. 3633 or the Digital Asset Market Clarity Act. That does not kill the crypto market-structure bill, but it leaves leaders without a publicly listed floor path while the Senate’s tentative calendar approaches an Aug. 10 state work period.  Under the Senates ordinary Rule XXII, a cloture petition needs 16 signatures. The cloture question normally comes one hour after the Senate meets on the following calendar day but one. Cloture on a motion to proceed generally requires three-fifths of senators duly chosen and sworn, normally 60 votes when all 100 seats are filled.  A Wednesday, Aug. 5, filing could therefore produce a Friday cloture vote if the Senate is in session for the filing and meets Friday. That vote would concern ending debate on the motion to proceed, not passing CLARITY. If cloture is invoked, Rule

08-03انڈسٹری

Coinkite Faces Class Action Threat as Bitcoin Wallet Bug Costs Users Over 1,300 BTC

Key TakeawaysVictims are planning class-action lawsuits against Coinkite after losing $88 million to the Coldcard wallet bug.Legal experts are sharply divided on Coinkite‘s liability, complicating victims’ prospects for recovering funds.These potential product liability cases could establish major legal precedents for crypto hardware wallet makers.  Users Prepare To Exert Legal Action Against Coinkite Over Coldcard Vulnerability  Coinkite, the company behind the Coldcard series of hardware wallets, might face legal action from users who have collectively lost over 1,300 BTC linked to the vulnerability in the seed phrase generator used by some of its models.  Thomas Braziel, founder and managing partner of 117 Partners, is studying how to act against the company, mentioning targeting product liability claims and even pursuing a class action lawsuit against the manufacturer.  Braziel is currently coordinating and gathering information from victims internationally before embarking on these actions.  Discover more  stochastics  Engineering it has no sales volume, despite being the largest in this matter of self-custody; in the real world outside of bitcoin, it represented nothing, a tiny company,”he told Livecoins.  Opinions are divided on whether Coinkite might be held liable for these losses. Cris Carrascosa, CEO of ATH21, a legal firm, stressed that Coinkite had “zero regulatory responsibility over the funds of the users of

08-03انڈسٹری

Minnesota Ban Nudify Apps: Court Upholds Law Amid xAI Challenge

A federal judge has cleared the way for Minnesota‘s Minnesota ban nudify appslaw to take effect, rejecting an eleventh-hour attempt by Elon Musk’s xAI to freeze the rule before it became binding on August 1. U.S. District Judge Donovan Frank denied the companys request for a temporary restraining order, a ruling that hinged less on the merits of the law itself and more on how late xAI moved to challenge it.  Key takeawaysJudge Donovan Frank denied xAI‘s bid to block Minnesota’s first-in-the-nation ban on “nudify” technology just before it took effect on August 1, 2026.Frank said xAI waited nearly three months after the law was signed and filed its emergency motion only three days before the deadline, undercutting claims of urgent harm.xAIs underlying lawsuit continues and argues the law is overinclusive, covering constitutionally protected images while less restrictive options exist.The law carries a penalty of $500,000 per violationand followed a backlash after xAIs Grok chatbot was used to generate non-consensual sexualized images on the platform X.  Court denies xAI‘s bid to block Minnesota’s nudify app ban  Judge Frank‘s ruling makes clear that Minnesota’s crackdown on nudify appscan move forward while the broader legal fight plays out in court. The decision doesn‘t resolve whether

08-03انڈسٹری
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