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AshiiPk
đ Coldcard Fund Recovery Isnât as Simple as Sending BTC Back
If the stolen funds are actually recovered, the refund process could be surprisingly complicated.
After the low-entropy vulnerability was disclosed, attackers may still be able to derive affected wallet addresses. That means signatures from old addresses cannot reliably prove ownership, since attackers may also control those keys.
A safer recovery process should have two separate tracks:
âą Old addresses: Use them only to identify and calculate the victimâs losses. Ownership should be verified through pre-incident withdrawal records, police reports, exchange/platform records, etc.
âą Compensation: Send recovered BTC only to new addresses generated from fresh, high-entropy seeds, with additional verification, a waiting period, and small test transactions.
đ The original coins and amounts can be restored â but the original addresses should not be reused.
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