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https://m.stacker.news/150556

https://m.stacker.news/150557

https://m.stacker.news/150559

Thread: https://x.com/Zenul_Abidin/status/2083756420843839872?s=20

Raises an interesting question, if they did know, and wanted to patch it... how could they release a patch that didn't automatically highlight the issue for attack? As soon as you tell users to upgrade and regen, or anyone capable sees the code diff, it'd be open season on all prior keys.

Raises an interesting question, if they did know, and wanted to patch it

What I find particularly interesting here is who did these drains 3 years ago?

  • Did an attacker know of this vulnerability and only slowly exploited it?
  • Or did Coldcard users create new wallets and found somebody elses wallet?
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254 sats \ 8 replies \ @justin_shocknet OP 2 Aug -420 sats

Since the entropy was so low you wouldn't need to know about the vulnerability specifically, just a naive collider script would get lucky once in awhile.

Knowing the vulnerability just ups the success rate. You can mine weak seeds just as you mine blocks.

Attackers in 2022 may not even know they were Coldcard seeds, just generally weak seeds.

how could they release a patch that didn't automatically highlight the issue for attack?

Same way Core does it. Hide it in a refactor.

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126 sats \ 1 reply \ @justin_shocknet OP 2 Aug -420 sats

You'd still have to tell users to regen their seeds, even if you could obfuscate the code change in a larger refactor you'd still have to highlight the issue at a high level.

Core bugs dealt with that way are more run time, afaik they've never had an entropy or RNG bug.

I was talking to @optimism about someone potentially trying to replicate the attack for the purpose of safeguarding vulnerable funds and trying to return them later.

It’s a bad idea for a bunch of reasons, in the current context, but maybe ColdCard would have had to do something like that.

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70 sats \ 3 replies \ @justin_shocknet OP 2 Aug -420 sats

I still think that's possible and hope for users sake it is, but other evidence points to this being a naive attacker given they used a paid API for address indexes and didn't immediately sweep all plausible derivation paths.

These are some of the most toxic coins ever now, if they're really a whitehat they should send them to a coinjoin too just so people also realize how stupid those are after they get tracked through.

If Coinkite were to have done it'd I think the way to go would have been coordinated well with communications, a thorough sweep a handful of few blocks before announcement with instructions on preserving your device for fingerprint proof of ownership.

I've been looking through a number of these this morning. I'm not sure that it's very convincing that the firmware was the problem -- it is also possible users screwed up.

https://www.reddit.com/r/coldcard/comments/17epqk8/040_bitcoin_taken_instantly_from_my_coldcard/

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103 sats \ 0 replies \ @justin_shocknet OP 2 Aug -420 sats

That's the catch-22, their support has surely dealt with user error constantly for years.

All those PEBKAC reports make legitimate reports harder to identify.

However, since randomness is literally the devices one and only job, you'd think at some point it was inspected at the library level. That's ultimately what happened, so many drains at once it could no longer be ignored.