Coinkite has issued a warning to owners of its older Coldcard Mk3 hardware wallet over how the device generated seed phrases, a caution that surfaced alongside reports linking a 594 BTC theft to the same seed-generation issue. This is a hardware wallet security story, and much of the theft claim remains unverified.
TLDR KEYPOINTS
- Coinkite has warned Coldcard Mk3 users about seed generation on the older device.
- Reports link a claimed 594 BTC theft to the Mk3 seed-generation issue, but the figure is not independently confirmed.
- This is a device-specific security matter, not a Bitcoin market-move story.
What Coinkite warned Coldcard Mk3 users about
The article is anchored to Coinkite’s warning to owners of the Coldcard Mk3, the earlier generation of its Bitcoin hardware wallet. The company laid out the concern in a Coldcard Mk3 seed generation warning published on its blog. For related coverage, see Binance Stock Trading Services Upgrade Set for August 1, 2026.
The warning concerns how seed phrases were generated on the older Mk3 device. Coinkite currently directs buyers toward its newer Coldcard Mk4 model, reinforcing that the issue is specific to the earlier hardware. For related coverage, see Bhutan's Gelephu taps 3iQ to manage part of its bitcoin treasury.
Kanalcoin’s local research package marks this story as only partially verified and recommends a narrower, more cautious angle, so the reporting here centers on the vendor warning itself rather than on any single loss figure. For related coverage, see Strategy Q2 Loss Hits $8.2B on Bitcoin Slump.
How the reported 594 BTC theft is tied to the warning
The story reached wider attention through reports of a 594 BTC theft that was linked to the Mk3 seed-generation issue. According to an external report, the coins were drained in roughly 15 minutes. For related coverage, see Schumer Proposes Anti-Corruption Agency, Citing Trump's Crypto Ventures.
The theft figure should be treated as a reported, not confirmed, claim. Kanalcoin’s research package contains no populated list of verified facts for the theft, and the number has not been independently confirmed by Kanalcoin.
A Bitcoin address cited as supporting context can be inspected on a public explorer, where the balance and transaction history are visible on the associated wallet page. Readers can verify the on-chain activity directly rather than relying on secondhand summaries.
What Coldcard Mk3 users should watch next
This remains a hardware wallet security matter rather than a Bitcoin price event, and it should not be read as a signal about the broader market.
Who may be affected
The warning is scoped to users of the older Coldcard Mk3 device, not the current Mk4. Owners who generated seeds on the earlier hardware are the group Coinkite’s guidance is aimed at.
What remains unknown
The full scope of the seed-generation issue, the confirmed size of any loss, and final attribution for the reported theft are not established in the available evidence. The 594 BTC figure in particular rests on external reporting rather than verified data.
What users should do next
Affected owners should review their seed-generation history and consult Coinkite’s official guidance before taking action, including any migration or wallet-rotation steps tied to Mk3 usage. Security stories of this kind sit alongside broader scam and fraud coverage, such as reports that a Chinese newspaper warned of a Bitcoin extortion scam using its name, a reminder that verifying sources directly matters.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.
