Uploaded August 2026 | Updated September 2026, 2 weeks ago
Bitcoin has just been through its worst stretch of infrastructure failures in years.
On July 30, Coinkite disclosed that a 2021 Coldcard firmware bug had routed seed generation to a software randomizer instead of the device's hardware RNG, leaving affected seeds guessable. Attackers have since drained roughly $130 million in BTC from more than 5,200 addresses. On Aug. 3, the swap bridge Boltz disabled its service indefinitely, saying "attackers now iterate faster than a team our size can find and patch" after months of automated, AI-assisted probing. On Aug. 7, BTCPay Server warned of a critical flaw under active exploitation; merchant Lightning nodes were swept overnight, including one belonging to hardware wallet maker Foundation. The bug was caught by a developer who lost money, not by the AI audits running across bitcoin's stack.
Camila Russo is joined by Zach Herbert, co-founder and CEO of Foundation, maker of the Passport hardware wallet and one of the parties whose Lightning node was drained in the BTCPay attack; and Nick Neuman, co-founder and CEO of Casa, which builds multisig self-custody for bitcoin.
Bitcoin has just been through its worst stretch of infrastructure failures in years.
On July 30, Coinkite disclosed that a 2021 Coldcard firmware bug had routed seed generation to a software randomizer instead of the device's hardware RNG, leaving affected seeds guessable. Attackers have since drained roughly $130 million in BTC from more than 5,200 addresses. On Aug. 3, the swap bridge Boltz disabled its service indefinitely, saying "attackers now iterate faster than a team our size can find and patch" after months of automated, AI-assisted probing. On Aug. 7, BTCPay Server warned of a critical flaw under active exploitation; merchant Lightning nodes were swept overnight, including one belonging to hardware wallet maker Foundation. The bug was caught by a developer who lost money, not by the AI audits running across bitcoin's stack.
Camila Russo is joined by Zach Herbert, co-founder and CEO of Foundation, maker of the Passport hardware wallet and one of the parties whose Lightning node was drained in the BTCPay attack; and Nick Neuman, co-founder and CEO of Casa, which builds multisig self-custody for bitcoin.
