1,778 BTC Stolen in Coldcard Hack: Galaxy Research Tracks $112M Losses

Woofun AI reports that a sophisticated breach of the Coldcard Bitcoin hardware wallet has resulted in the theft of 1,778 BTC, an incident now under active forensic scrutiny by Galaxy Research. The security failure within this prominent open-source device has triggered a complex investigation into the movement of stolen assets.

The financial scale of the compromise is substantial, with losses exceeding $112 million at current market valuations. Galaxy Research has mapped three major attack flows alongside traces of more than 30 smaller attacks, revealing a structured approach to laundering the illicit funds. This architectural complexity suggests a high level of operational sophistication by the perpetrators.

Per Woofun AI, the firm has identified at least 33 addresses believed to be controlled by the hacker, a list now shared with exchanges, law enforcement authorities, and investigative agencies. These entities are leveraging the data to aid in tracing and potential recovery efforts, marking a collaborative response to the digital heist.

A notable pause in activity occurred after August 6, with no new attack flows detected since that date. Of the stolen funds, approximately 1,531 BTC remains in addresses controlled by the hacker, while the remaining 246 BTC has been transferred out to other wallets or exchanges.

This incident underscores the persistent vulnerabilities in hardware security, reinforcing the necessity for multi-signature wallets and regular software updates. The theft of 1,778 BTC serves as a stark reminder that even security-focused devices are not immune to sophisticated attacks.