Bitcoin (BTC) News Today: August 3

The primary cryptocurrency has experienced another pullback over the past few days. Potential reasons for the negative performance include the Coldcard exploit, waning institutional interest, and Strategy’s latest sell-off. Here’s everything you need to know.

The Coldcard Drama Last week, Coinkite, the company behind the Colcard hardware wallet, warned users that their Bitcoin funds could be at risk if their seed phrase was generated on certain affected firmware versions.

This alert came shortly after reports that almost $40 million worth of BTC had been drained from such devices. The attacks continued with two more waves, and at one point the total amount of embezzled coins reached 1,367.05 (equaling around $88.6 million).

Alex Thorn (head of firmwide research at Galaxy Digital) spotted a fourth organized wave, saying: “These are likely Coldcard victims – they match the shape of Coldcard vulnerable UTXOs, and the elevated transaction pattern gives me high confidence they are another wave of attacks.” He also advised all users to move their funds off their wallets as soon as possible.