Coldcard Wallet Users Face Potential $114 Million Loss

Security experts are sounding the alarm as a series of suspicious transactions linked to Coldcard wallets continues to grow. Current estimates suggest that total losses could climb toward $114 million if the recent pattern of unauthorized fund transfers persists. This situation is affecting users across the ecosystem who hold assets in these devices.

The core of the problem involves transactions currently sitting in the mempool. Attackers are using a feature known as replace by fee to ensure their unauthorized transactions get processed first. This method essentially allows the malicious actor to outbid the actual owner of the wallet to get their transaction confirmed by the network.

If you see your wallet address appearing in the mempool with a pending transaction you did not authorize, you have a very narrow window to act. You can attempt to move your funds to a new, secure address by paying a significantly higher transaction fee. This might allow your legitimate transaction to beat the attacker to the next block.

Crypto holders should monitor their wallet activity closely during this time. Staying vigilant and moving assets quickly if you spot suspicious activity is the best way to protect your holdings. We are monitoring the situation as more details emerge regarding how these wallets were compromised.