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      COLDCARD Releases Firmware Update Following Major Security Exploit

      Coinkite, the Canadian company behind the COLDCARD hardware wallet, has released firmware version 5.6.1 for its Mk4 and Mk5 devices, along with version 1.5.1Q for its Q-series models. This update comes in response to a significant security exploit that resulted in the theft of approximately 1,816 BTC, valued at around $114 million to $116 million, from affected wallets.

      The vulnerability stemmed from a seed-generation flaw that had existed since firmware version 4.0.1, released in March 2021. This flaw weakened the true random number generator (TRNG) used in COLDCARD devices, allowing attackers to reconstruct weakly generated seeds. The exploit was first utilized on July 30, 2026, prompting Coinkite to issue an urgent hotfix the following day, although the damage had already been done.

      The new firmware update mandates that users contribute their own physical randomness during seed generation, enhancing security by mixing user-supplied entropy with the device's random number output. This approach aims to ensure that even if one source of randomness is compromised, the resulting seed remains unpredictable. Additionally, the firmware addresses bugs in transaction signing and backup procedures, and users are advised to create new wallets if they generated seeds on vulnerable firmware versions.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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