1,800 BTC Stolen After Coinkite CTO Allegedly Ignored RNG Warnings

Evidence links Coinkite CTO to LibNgU code behind 1,800 BTC theft, despite prior warnings about RNG flaws.

Woofun AI reports that new evidence suggests Peter Gray, Co-founder and CTO of Coinkite, is the anonymous developer "switck" who wrote the LibNgU code central to the COLDCARD entropy failure. Researchers indicate that Gray's GPG key signed numerous commits by switck, establishing a link between the identities.

Bitcoin developer James O'Beirne stated he warned Coinkite in May 2025 that the LibNgU RNG implementation appeared suspicious and advised its removal, but was told issues would have been found if they existed. Screenshots show users raised concerns about the rewrite as early as April 2021. If accurate, the engineer linked to the over 1,800 BTC theft ignored direct warnings more than a year before the vulnerability was disclosed.