Crypto Wallet Security: Lessons from Coldcard Seed Flaw

Changpeng Zhao says even the most trusted names in hardware storage cant guarantee full protection, and a newly discovered Coldcard flaw is proving his point. “Nothing is 100%,” the Binance founder wrote on X on August 1, urging crypto holders to stop relying on a single device or seed phrase. His warning followed a Bitcoin theft that exploited predictable key generation inside some Coldcard wallets, a case that has reopened a hard conversation about crypto wallet securityand whether offline storage alone is enough to keep funds safe.  The incident didnt involve stolen devices, phishing links, or careless owners handing over recovery phrases. Instead, it traced back to a flaw buried in firmware that generated wallet seeds using predictable data instead of true randomness. That distinction matters: the failure happened at the moment a wallet was created, long before any transaction was ever signed.  Key takeawaysChangpeng Zhao said no crypto wallet is fully safe after a Coldcard seed flaw was exposed, urging users to split funds across multiple wallets.A firmware bug caused some Coldcard devices to generate predictable seeds instead of using true hardware randomness.Attackers stole roughly 594 BTC from about 500 wallets in a 25-minute window; Across 1,196 addresses, Galaxy Research subsequently

08-01انڈسٹری

Strives Joe Burnett points to institutional custody after Coldcard exploit

The Vice President of Bitcoin Strategy at Strive, Joe Burnett, described the past week as “possibly one of the worst weeks in the history of Bitcoin.”   The statement suggested that large holders ought to trust institutional custodians more than hardware wallets.  Why did Strive‘s VP of strategy call out the worst week in Bitcoin’s history?  A firmware exploit led to the loss of ~1,082 BTC, worth about $70 million, from Coldcard hardware wallets.  The theft caused Burnett to warn large holders about hardware wallets, encouraging institutional custodians instead. The thief pounced on weak seed randomness before carting away users funds.  The flaw was found in version 4.0.0. Coinkite shipped that version from a code commit on March 1, 2021, and patched it in version 4.21. Coinkite is the company behind Coldcard.  The price of Bitcoin stayed more or less the same, hovering around $63,000 through the weekend. Although Santiment recorded the most negative Bitcoin social sentiment ever, a reaction that could be traced to the horror of watched-over keys failing.  Why Burnett says the setup was more critical than the mistake  What caused Burnett to be uneasy wasnt carelessness per se. According to Burnett, victims of the attack purchased a genuine device, generating their seed offline and

08-01انڈسٹری

BOJ intervenes to defend yen near 160, holds rates steady

Japans central bank held interest rates steady at 1.0% on Friday after a reported major intervention in the yen.  Key points:Japan holds interest rates at 1.0%, following market expectations.Both Japan and South Koreas central banks reportedly engage in currency interventions, as the JPY briefly gains 3.5% overnight.Bank of Japan warns of incoming CPI inflation headwinds in the second half of the year.  Yen rises up to 3.5% as Korea joins intervention  In its latest statement, the Bank of Japan (BoJ) revealed broad consensus among officials for holding rates at current levels — an outcome that markets had anticipated in advance.  “The Bank will encourage the uncollateralized overnight call rate to remain at around 1.0 percent,” it confirmed.  Eight out of nine members of the banks Policy Board voted for the outcome, with only Hajime Takata proposing a 0.25% rate hike.  Japans benchmark rate remains at its highest levels since 1995, with the BoJ meeting result coming just hours after the yen saw snap volatility. Against the US dollar, the currency rose by as much as 3.5% on Thursday, per data from TradingView, in a move that has widely been attributed to central bank intervention  The BoJ did not officially comment on the latest moves, which coincided with

08-01انڈسٹری

Japan, US Plot Yen Rescue as Speculators Face Reckoning

Key TakeawaysJapan and the U.S. may unveil a joint yen policy next week, Kyodo News and CNBC reports.Japan sold up to $58.97 billion on July 30 in its largest one day yen move since 2022.Bessents notepad showed plans to buy $5-10 billion in yen, Reuters photographed.  Japan Strikes First, Buying Nearly $59 Billion in a Day  The move follows a dramatic week of currency action. On July 30, Japan‘s Ministry of Finance sold as much as $58.97 billion to buy yen in a single day, according to central bank data, marking the currency’s largest one-day gain against the dollar since 2022. The yen jumped from near 164 per dollar toward the upper 150s.  Treasury Steps In Behind Tokyo  A day later, the U.S. Treasury told major banks to prepare for possible intervention of its own, according to a person familiar with the matter. The Financial Times (FT) later reported that the New York Federal Reserve had sold euros to buy yen through banks including Goldman Sachs and Morgan Stanley.  It would be Washington‘s first direct move to support the yen in more than a decade, since coordinated Group of Seven action after Japan’s 2011 earthquake and tsunami.  Bessents Notepad Confirms the Plan  A Reuters photograph added visual

08-01انڈسٹری

How bitcoin cold wallets lost $70 million in an attack that never touched the devices

Every step of that runs on the attackers machine. The victims device is not involved at any point and could be powered off in a safe on another continent.  Galaxys breakdown shows the process running. Of the drained wallets, 1,183 used the modern native segwit address format, seven used an older standard and six an older one still. Nobody targets a specific victim across three address formats at once.  That is systematic enumeration, checking each candidate seed against every path it might have produced. The operator can widen the search, refine it and return whenever they choose.  Galaxy warned further waves are likely if owners do not move their funds.  The victims span three address formats, which is what a scanner looks like. (Shaurya Malwa/CoinDesk)  Nor can an owner determine whether they are exposed. There is no test to run against your own wallet that reveals whether your seed sits inside the reproducible range.  Attack might not be fully finished  Coinkite, Coldcards maker, has warned Mk3 owners and says its newer devices are unaffected, while Blocks report places the Mk2, Mk4, Q and Mk5 in scope as well. Until that is resolved, anyone who generated a seed on the affected firmware has to assume the worst rather

08-01انڈسٹری

Tether claims $1.5B profit, but hidden math reveals a $4.2B hit that halved its safety cushion in 90 days

Tether‘s second-quarter materials report $1.5 billion in net operating profit, earned mainly from Treasuries and repo activity. However, the attached reserve report shows a negative $3.17 billion first-half financial result, and the company’s materials do not reconcile the two figures.  Subtracting the first quarters positive $1.04 billion financial result from that first-half figure implies a negative $4.211 billion result for the second quarter alone.  After an $89 million net capital offset, the implied hit reduced the cushion above roughly $184 billion of liabilities from $8.23 billion to $4.11 billion in three months.  Reconstructing the missing number  Tethers implied financial result is negative $4.211 billion for the second quarter, followed by an implied net capital movement of positive $89 million. The total is roughly $4.110 billion, matching the reported June 30 figure, given the Mar. 31 cushion of $8.23 billion.  Total assets fell from nearly $191.8 billion to $187.7 billion over the same stretch, the primary source of the cushion compression. Total liabilities moved only slightly higher, from $183.5 billion to $183.6 billion, over that same period.Line itemQ1 Mar. 31H1 Jun. 30Implied Q2 movementWhy it mattersFinancial result+$1.0B-$3.17B-$4.21BImplies a large Q2 hit despite reported operating profitNet capital movement+$854M+$943M+$89MSmall offset to the financial-result declineEquity cushion above liabilities$8.23B$4.11B-$4.12BReserve buffer

08-01انڈسٹری

PUMP gains 10% as Pump.fun revenue rises – Will $0.002245 break?

Pump.fun [PUMP] extended its recent momentum into the new month.  The Solana-based memecoin launchpads token surged 10% over 24 hours, approaching the $0.002245 resistance level. Buyers remained in control as PUMP formed higher highs and held above its key moving averages.  Interestingly, stronger protocol activity supported the move, improving the case for continued momentum.  Is Pump.fun revenue supporting PUMP?  Pump.funs protocol activity accelerated over the past month. The platform generated $32.84 million in Revenue over 30 days, approximately $6 million above the previous monthly total.  Meanwhile, daily protocol Fees increased 22.6% month over month, indicating higher activity across the platform.  Source: DeFiLlama  Improving Revenue suggested that Pump.fun‘s usage was strengthening alongside PUMP’s rally. That alignment made the price advance more notable as network activity began supporting the bullish technical setup.  Can PUMP break $0.002245?  On the daily chart, PUMPs price action reflected the improving sentiment.  The token traded above its key Exponential Moving Averages, preserving the bullish structure developed over recent weeks. Each pullback attracted buyers, allowing PUMP to climb steadily toward the $0.002245 resistance level.  Source: TradingView  A decisive daily close above this level could strengthen the case for another bullish move.  By contrast, another rejection could trigger short-term profit-taking following the recent rally.  For now, buyers appear to hold the advantage. Rising

08-01انڈسٹری

August Starts Hot: Dogecoin Spot Flows Up 116%, Is DOGE Rally Next?

Dogecoin spot flows rose 116% in the last 24 hours, according to Coinglass data, as the crypto market saw selling at Julys close. Dogecoin fell to a low of $0.068, closing July 31 with a loss of 1.42%. The profit-taking was reflected in the positive spot net flow, which rose 116%.  In the last 24 hours, Dogecoin saw spot inflows of $30.83 million while spot outflows amounted to $30.27 million, yielding a positive spot netflow of $558,210, an increase of 116.32%.  An increase in spot inflow might suggest coins being moved to spot exchanges, possibly to sell, while outflows might suggest withdrawals, which is indicative of buying.  Dogecoin (DOGE), Zcash (ZEC), Cardano (ADA) and Solana (SOL) Price Analysis For August 1: Outsiders Enter the Stage  Democrats Hate Crypto More Than Oil Companies and Data Centers, Poll Shows  Cryptocurrencies including Dogecoin closed out July on the back foot. Hawkish comments from the Federal Reserve committee dulled cryptos recovery hopes, with Dogecoin closing July with a loss of 28.25% to mark its second red month since April.  You Might Also Like  As the market stays uncertain, the taker long-short futures market volume ratio continues to be bearish, indicating a downside bias.  Whats next?  Dogecoin is showing mild signs of recovery on

08-01انڈسٹری

Bitcoin Holds Monthly Gain; Analysts Warn Of Choppy August As Forced Selling Dries Up

Bitcoin is entering August with a hard-won monthly gain, but the relief may be short-lived. The largest cryptocurrency shrugged off a barrage of negative headlines in July—including a fresh wave of regulatory action and lingering macroeconomic uncertainty—yet the exhaustion of forced selling has provided the floor. Now, traders are turning their attention to a heavy calendar of U.S. economic data and central bank rhetoric that could quickly turn the market choppy again, according to the market update from CoinDesk. The consensus among analysts is that the burst of supply from distressed entities and liquidations has largely burned through, removing a source of downward pressure that had dogged the market for weeks.  The narrative of forced selling exhaustion matters because it shifts the supply-demand balance. In June and early July, selling from bankruptcies, government wallets, and margin calls created a persistent overhang. Bitcoins ability to absorb that pressure and still close the month higher suggests underlying demand, particularly from institutional accumulation via spot ETFs and on-chain entities that have been quietly adding. The Weekly Tokenization Roundup highlights how real-world asset markets are maturing alongside crypto, and that institutional confidence is beginning to translate into spot holdings rather than just derivatives exposure.  Why the

08-01انڈسٹری

How to Safely Buy Crypto in Minnesota Without ATMs

Starting August 1, 2026, Minnesota is changing the way people can buy and store crypto. Crypto kiosks, the ATM-style machines found in gas stations and convenience stores, are now banned. At the same time, a new law lets Minnesota banks and credit unions hold crypto for their customers.  These two changes happened on purpose. The state wants to shut down a tool scammers loved, while opening a safer, regulated path for everyday people who still want to buy crypto.  Why Minnesota Banned Crypto Kiosks  Crypto kiosks look like regular ATMs, but instead of giving you cash, they turn your cash into cryptocurrency. Scammers used them constantly.  Heres the usual trick: a scammer calls or emails you, claiming your bank account is hacked, you owe back taxes, or a family member is in trouble and needs bail money. They create panic, then tell you to rush to a nearby kiosk and feed in cash. Once that money becomes crypto, it moves overseas in seconds and is almost impossible to trace or recover.  The Minnesota Department of Commerce investigated 134 complaints involving crypto kiosks between 2023 and 2025, and Minnesotans lost nearly $1 million during that time. A 2024 FBI report found about 11,000 complaints involving crypto

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