Stacks founder proposes Bitcoin fund to buy out claims from Coldcard hack victims
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Stacks founder Ali proposed a Bitcoin fund to buy victims' claims after a Coldcard (Coinkite) hardware wallet exploit. Galaxy Research estimates at least 1,596 BTC stolen (potentially ~2,000 BTC) across thousands of addresses. While not an exchange or protocol-layer failure, the incident highlights hardware and supply-chain risks, pressuring confidence in self-custody practices and potentially increasing near-term security scrutiny across the Bitcoin ecosystem.
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Stacks founder Ali has proposed creating a Bitcoin-denominated fund to purchase claims from users whose BTC was stolen following a hack tied to vulnerabilities in Coinkite's Coldcard hardware wallets.
The incident has been linked to weaknesses affecting Coldcard devices. Investigators have confirmed three major attack waves and 14 smaller events. Galaxy Research estimates at least 1,596 BTC—worth more than $100 million—was taken from around 7,300 addresses, with potential total losses reaching 2,000 BTC (about $130 million).
The breach has shaken confidence in Bitcoin self-custody security. It did not involve any exchange compromise or protocol-level flaw, and is being treated as a hardware supply-chain security incident.
