Show Notes
This is an emergency episode to warn everyone of the catastrophic Coldcard entropy bug that’s letting attackers regenerate users’ keys and drain wallets without device access.
I walk through concrete, step‑by‑step instructions to move your coins to safety (including using Sparrow, Nunchuck, and even exchanges as a last resort), who’s most at risk across MK3, MK4, MK5, and Q devices, and what this means for hardware wallets, AI‑driven security research, and multi‑sig going forward.
This is the worst hit to self custody in Bitcoin's history. All we can do is act as quickly as possible. If you have a coldcard in your setup, you need to move to safe keys or cycle your multisig, don't wait, don't assume you have time, sit down and get it done. Do it carefully and don't skip steps.
Here are a few of the quickest paths to safety and how to think about this going forward. To everyone who got hit by this, I cannot be more sorry.
Chapters
(00:00:00) - Coldcard bug red alert
(00:02:07) - MK3 absolute worst case
(00:03:16) - Other wallets who’s safe
(00:04:33) - Links confirmation panic check
(00:05:18) - Dice entropy and urgency
(00:05:56) - MK4 MK5 Q risk
(00:06:57) - Fastest escape route
(00:08:59) - Recovering with just seed
(00:09:43) - When to use exchange
(00:11:03) - Multisig exposure lessons
(00:16:35) - Personal note
Affiliate Links
Become sovereign, hold your keys, be censorship resistant with the Bitbox hardware wallet. Get 5% off everything in the store with code GUY (Link: https://bitbox.swiss/guy/)
Get 10% off the best Bitcoin board game in the world, HODLUP! Or any of the other great games from The Free Market Kids! Use code GUY10 at checkout for 10% off your cart! (Link: https://www.freemarketkids.com/collections/games-1)
References from the episode\
Coinkite Security Advisory: https://blog.coinkite.com/coldcard-mk3-seed-generation-warning/\
Predictable RNG Fallback and 32-Bit Reseed in COLDCARD Firmware (Block): https://engineering.block.xyz/blog/predictable-rng-fallback-and-32-bit-reseed-in-coldcard-firmware Host Links Guy on Nostr (Link: http://tinyurl.com/2xc96ney) Guy on X (Link: https://twitter.com/theguyswann) Guy on Instagram (Link: https://www.instagram.com/theguyswann) Guy on TikTok (Link: https://www.tiktok.com/@theguyswann) Guy's Takes on YouTube (Link: https://www.youtube.com/@GuysTake) Guy Swann on YouTube (Link: https://www.youtube.com/@theguyswann) Bitcoin Audible on X (Link: https://twitter.com/BitcoinAudible) The Guy Swann Network Broadcast Room on Keet (Link: https://tinyurl.com/3na6v839)
More from Bitcoin Audible
"The cost of intelligence keeps falling toward the cost of electricity, and everyone will share in what that intelligence can do.
In this breakdown of the Ledger supply chain hack, I walk through how a tiny hardware implant turned legitimate hardware wallets into seed-stealing spy devices. I cover who’s actually at risk, why buying from resellers is a ticking time bomb, and what self-custody conditions are now non‑negotiable for serious bitcoiners. This isn’t the end of self-custody but a painful step we have to take to make it robust enough for the world we’re heading into.
I break down the biggest lie we've all deeply internalized about the economy: that prices are just supposed to go up. In a productive and advancing society, almost everything should actually be getting more affordable over time.
We finally stopped being lazy and brought a guest onto the Roundtable. Max Hillebrand joins Steve, Jeff, and I to talk about the absolute madness happening in the freedom tech space right now.
In this Take, I break down why the biggest AI labs, while deeply unprofitable sitting on massive future compute obligations, are racing toward trillion-dollar valuations. I explore how open-source competition, especially from China, is crushing their moat, and why that pushes them toward lobbying for fear-driven regulation, immunity, and government partnerships. Ultimately, I argue that the AI panic is about preserving a failing business model and building a centralized surveillance infrastructure, and why we shouldn’t be the ones paying their bill.