Coldcard Hacker Swaps Stolen Bitcoin Through THORChain
A hacker linked to Coldcard wallet thefts moved 10% of stolen Bitcoin, worth about $11.47M, to Ethereum via THORChain. The remaining 90% of the stolen funds, totaling around $114.7M, remain untouched. The hacker faced issues during the swap process, according to Galaxy Research's Alex Thorn.
How this was made
The 30-second read
Why it matters
The on‑chain movement via THORChain is the first observable activity from the stolen stash, indicating possible liquidation.
Market read
The news may affect short‑term BTC and ETH price dynamics and underscores security concerns in the crypto ecosystem.
What to watch
Potential involvement of mixers like Tornado Cash could further obscure traceability.
Background
Coldcard hardware wallet exploits have resulted in the theft of ~1,789 BTC. This is the third wave of such attacks.
Ticker impact
Coldcard hacker moved about 10% of stolen Bitcoin (~179 BTC) through THORChain to a new Ethereum address.
Short‑term downward bias on BTC as market reacts to theft‑related swaps.
The movement signals that a portion of the stolen stash is being liquidated, which could trigger panic selling.
The same hacker swapped the stolen Bitcoin for Ether via THORChain, delivering ETH to a new address.
Possible modest upside for ETH as the market absorbs the new supply.
Ether is receiving stolen Bitcoin proceeds; traders may view this as a temporary demand driver.
Market effects
Highlights security risks in hardware wallets and cross‑chain swapping services.
Global, with no specific regional bias.
Reinforces scrutiny on crypto custody solutions worldwide.
Counterpoint
The swaps may be a test run; actual liquidation could be delayed, limiting price impact.
Key entities
- hardware walletColdcard
Device whose private keys were compromised.
- cross‑chain protocolTHORChain
Decentralized liquidity network used to swap BTC for ETH.
