How South Korean Bitcoin Users Avoided a $130 Million Coldcard Wallet Hack
2026-08-07 19:17:07
According to CoinMeta, as reported by Coinpaper, Bitcoin users in South Korea successfully avoided a $130 million hack of Coldcard wallets by manually generating their own mnemonics and practicing a culture of cautious self-management of their funds. Although Coldcard devices are quite popular among experienced local users, the South Korean Bitcoin community suffered almost no direct losses. This incident was related to a flaw in the random number generation mechanism of certain Coldcard models, which exposed some mnemonics to attackers. The confirmed loss exceeded 1,596 Bitcoins, valued at about $130 million, with approximately 7,300 addresses being affected. The manufacturer of Coldcard, Coinkite, responded by stating that they have destroyed the remaining vulnerable devices and urged users to generate new mnemonics. South Korean Bitcoin users have long been accustomed to independently generating their own mnemonics, rather than relying entirely on the built-in randomness of hardware wallets. Many well-known members of the South Korean Bitcoin community encourage users to generate their own entropy, instead of relying solely on the random number generators of hardware wallets. This incident serves as another reminder to users that even hardware wallets designed for advanced users should not be considered a completely trustworthy source of randomness.
Source:Coinpaper
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