Coldcard manufacturer Coinkite faces class-action lawsuit in Canada over firmware random number vulnerability.
1 hours ago
Coldcard hardware wallet manufacturer Coinkite, along with its co-founders Rodolfo Novak and Peter D. Gray, is facing a class-action lawsuit in Ontario, Canada. The lawsuit alleges that Coldcard’s standard firmware, in use since around March 2021, has a fundamental flaw: it does not use a true random number generator (TRNG) and instead relies on a predictable software-based pseudo-random number generator (PRNG), which enables mnemonic phrase recovery and exposes users’ Bitcoin to unauthorized access. The suit seeks class certification, and claims Coinkite violated the Consumer Protection Act, Sale of Goods Act, negligence, and breach of contract, among other legal claims, and is demanding damages.
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