COLDCARD’S $38M INCIDENT JUST BECAME A $70M SELF-CUSTODY WAKE-UP CALL @COLDCARDwallet’s seed-generation failure is now linked to 1,196 Bitcoin addresses and 1,082.65 BTC, roughly $70.2M in losses. What changed: • The known damage jumped from 594 BTC to 1,082.65 BTC • The affected scope expanded beyond older Mk3 devices • Vulnerable seeds may exist across Mk3, Mk4, Mk5 and Q • Updating firmware protects future seeds, not the ones already generated The problem was the seed itself. If a wallet generates a predictable secret, perfect isolation does not save it. A hardware wallet can securely protect a weak key and still lose every coin it controls. That is why this hit self-custody sentiment so hard. People did not just see another exploit. They saw one of the most trusted Bitcoin storage models fail at the most fundamental layer: randomness.