PANews reported on October 22 that, according to a statement of claim made public by the Ontario Superior Court of Justice in Canada, Coinkite, the maker of the Coldcard hardware wallet, and co-founders Rodolfo Novak and Peter D. Gray have been hit with a class action lawsuit. The lawsuit alleges that firmware released since March 2021 switched to MicroPython's Yasmarang pseudo-random number generator due to a build error, making seed phrases reproducible. Attackers have exploited the vulnerability to steal coins since July 30, 2026, moving roughly 594 BTC in the first 25 minutes, with cumulative losses exceeding $140 million. The lawsuit also alleges that the two founders knew of the flaw no later than May 2025. The plaintiffs are seeking class certification and are claiming damages under Ontario's Consumer Protection Act and other laws.
Coldcard Maker Coinkite Hit with Class Action, Lawsuit Alleges Firmware Flaw Led to Over $140 Million in Bitcoin Theft
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