Galaxy Researcher Traces 52.37 BTC in Coldcard Wallet Recovery

TLDR

• Galaxy researcher Alex Thorn linked a Sept. 21 Bitcoin transaction to about 52.37 BTC recovered from Coldcard-related wallets.
• Coldcard owners can now search their public Bitcoin addresses on the Crypto Recovery Trust website.
• The traced funds match a recovery of just over 50 BTC that DART disclosed in August, not a second rescue.
• Any return of coins requires proof of ownership and other checks.
• Owners should never share seed phrases, private keys, or PINs through a web form.

Coldcard hardware wallet owners can now check whether white hat hackers recovered Bitcoin from their wallets. A new public portal lets victims search their addresses against traced recovery funds.

Galaxy researcher Alex Thorn linked a Sept. 21 Bitcoin transaction to roughly 52.37 BTC from Coldcard-related wallet clusters. The transaction carried a claims reference for Crypto Recovery Trust.

Thorn directed owners to search their public Bitcoin addresses on the trust’s website. A match can start an ownership claim, but any return depends on verification.

The check only asks for a public address. It never requires a seed phrase or private key.

How the Coldcard Bitcoin Recovery Was Traced

Blockchain explorer Mempool confirmed the transaction in block 967,948. In his Sept. 21 tracing report, Thorn said the amount made up 2.8% of the exploit funds Galaxy tracked.

Thorn also flagged 3.0134 BTC that entered the same destination from addresses Galaxy had not tracked before. He said these could be more white hat recoveries.

However, it is still unclear whether those coins came from Coldcard wallets.

The traced funds are not a new rescue. In an Aug. 17 report, digital asset recovery firm DART said it and independent researchers had secured just over 50 BTC, based on its internal ledger.

DART said it placed the rescued Bitcoin with Crypto Recovery Trust. The Sept. 21 transaction gives owners a public record of the recovery DART described a month earlier.

What Happens After a Bitcoin Address Match

DART said its trust process reviews recovery records and chain of custody. It also checks proof of ownership, including source-of-funds and exchange records.

Sanctions, competing claims, or other restrictions could affect whether coins are returned. The first address check and proving ownership are separate steps.

The recovery ties back to a flaw in how some Coldcard devices generated wallet seeds. The entropy flaw made some older wallet seeds easier to rebuild.

DART said a seed created under the affected firmware stays exposed even after a firmware update. Owners with exposed funds should follow the manufacturer’s migration guidance.

The firm also warned users not to send seeds, private keys, PINs, or recovery codes through any web form.

Bitcoin traded at about $83,370 at the time of reporting, down 3% over 24 hours.

For now, the 52.37 BTC trace is public, but ownership checks and payouts to victims have not been completed. Owners can search their addresses today to see if they may qualify.

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