Coinkite, whose Bitcoin security devices were compromised by a software bug, said it’s working on a post-mortem of the days-long attack rather than speculating on the extent of customer losses.
“We’re heads down helping affected customers,” Coinkite said in an emailed statement to Bloomberg News on Thursday.
The hack, which first came to light last week, has unnerved Bitcoin investors because the physical “cold wallet” devices that Coinkite and others offer are considered one of the safest ways to secure digital tokens. They are physical tools unconnected to the internet that generate private codes customers can use to access their crypto.
ADVERTISEMENT
CONTINUE READING BELOW
Coinkite’s ordeal has so far caused an estimated $130 million in losses to an unknown number of customers.
The Toronto-based company would not comment on the estimates, saying third parties that analyse underlying data are better suited to do so. By design, the company doesn’t collect such data for privacy reasons.
“We’re not in a position to independently confirm total losses or validate the specific figures being reported by third parties,” the company said. “We won’t speculate on a number we can’t verify directly.”
Coinkite has published an analysis of what it knows so far, with real-time updates on a blog. It plans to produce a “more formal technical post-mortem…as soon as it is safe to do so.”
Other analysts including Galaxy and Chainalysis have put out their own reports, while a larger effort from crypto experts has been happening, including by using sophisticated artificial-intelligence technology.
“We’d like to highlight an ongoing ecosystem-wide security audit,” Coinkite said, “which has so far found numerous critical bugs in key software systems across the ecosystem using frontier AI models.”
In a separate statement on its website, Coinkite said it temporarily suspended its automated data-blanking process “due to legal obligations arising from the security incident.” The company added that it will resume its standard data-blanking practices “as soon as we are legally permitted to do so.”
© 2026 Bloomberg
