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Morning Edition · Friday, August 21, 2026Published at 1:52 AM EDT · New York
The Coldcard Entropy Failure Turns Into a Fight Over Source-Available Bitcoin Software
A firmware build error from March 2021 cut effective key strength to as little as 40 bits, and critics argue a restrictive license kept the code out of the hands of reviewers who might have caught it.
The Coldcard hardware wallet failure has moved from an incident report to an argument about licensing. Bitcoin Magazine sets out the case in open source versus source-available, noting that free and open-source software rests on four freedo…
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Part of a tracked trend
Hardware-Wallet Trust Erodes
Recurring firmware and entropy defects in self-custody hardware, now surfaced faster by AI-assisted code analysis, will keep pushing risk-averse holders toward custodial and ETF products rather than personal key management.
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