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Searches for "Entropy" have spiked in the last 48 hours, and if you hold Bitcoin in self custody you need to understand why, because a research team just proved that Coldcard's firmware was generating duplicate wallets roughly every 1.3 million seeds, with a full collision reproduced in 4.7 seconds on an M1 Mac. A quick explainer, since it matters here. When your hardware wallet creates a seed phrase, it pulls from a source of randomness so unpredictable that no computer should ever reproduce the same output. Think of it like rolling a die with 2^128 sides, which is a number with 39 digits, and your entire financial life depends on nobody else landing on your number. With proper entropy you could run every computer on the planet for billions of years and never see a collision, and that assumption is the entire reason Bitcoin self custody works. The Coldcard firmware had a flaw in how it sourced that randomness. Block's research team found it, built a program to prove it, and the results were ugly: a duplicate wallet every ~1.3M generations, reproduced in under 5 seconds on a laptop you can buy at Best Buy. The die had way fewer sides than advertised, and anyone who generated a Coldcard wallet during the affected firmware versions was walking around with far less security than they thought they had. Your seed phrase IS your money, and the security of that phrase starts at the exact moment of creation. You can stamp your words into titanium, add passphrases, run multisig, do everything else right, and if the entropy source was broken from the jump then the foundation underneath all of it was already compromised before you wrote down the first word. If you generated seeds on a Coldcard during the affected period, move your funds to a new wallet with verified entropy.

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