In this episode, Steve, Jeff, and I walk through the catastrophic Coldcard entropy failure, how a trusted hardware wallet ended up generating weak keys, and how attackers are now brute-forcing Bitcoin wallets in minutes.

We dig into AI’s role in widening the attack surface, the dangers of source-available over true open source, and our own arrogance around hardware security. I share practical steps to get your coins off compromised devices, why multi-sig saved me this time, and how we can turn this gut punch into genuine anti-fragility for Bitcoin self-custody.

Chapters

(00:00:00) - Introduction

(00:11:36) - Reacting to the Coldcard exploit

(00:15:00) - FOSS vs. source-available software

(00:22:05) - Hardware fallback flaws and testing

(00:35:46) - Verifying dice roll entropy

(00:42:45) - Red teaming Bitcoin security with AI

(00:54:13) - Physical dice rolling for keys

(01:10:11) - Jack Mallers, Strike, and 21

(01:31:50) - Corporate influence and core dev funding

(01:45:43) - AI and vulnerability discovery

(01:49:34) - Anti-fragile security and multi-sig

Guest Links

Steve Simple Nostr (Link: https://tinyurl.com/3s6a8yn8)

Steve Simple on X (Link: https://x.com/stevesimple)

Jeff Swann Nostr (Link: https://tinyurl.com/3sjc3bcp)

Jeff Swann on X (Link: https://x.com/agoristview)

Jeff Swann's petition (Link: https://www.change.org/p/help-us-home)

Affiliate Links

• Become sovereign, hold your keys, be censorship resistant with the Bitbox hardware wallet. Get 5% off everything in the store with code GUY (Link: https://bitbox.swiss/)
• Get 10% off the best Bitcoin board game in the world, HODLUP! Or any of the other great games from The Free Market Kids! Use code GUY10 at checkout for 10% off your cart! (Link: https://www.freemarketkids.com/collections/games-1)

Host Links

⁠⁠Guy on Nostr ⁠(Link: http://tinyurl.com/2xc96ney)

⁠Guy on X ⁠(Link: https://twitter.com/theguyswann)

Guy on Instagram (Link: https://www.instagram.com/theguyswann)

Guy on TikTok (Link: https://www.tiktok.com/@theguyswann)

Guy's Takes on YouTube (Link: https://www.youtube.com/@GuysTake)

Guy Swann on YouTube (Link: https://www.youtube.com/@theguyswann)

⁠Bitcoin Audible on X⁠ (Link: https://twitter.com/BitcoinAudible)

The Guy Swann Network Broadcast Room on Keet (Link: https://tinyurl.com/3na6v839)

This is an emergency episode to warn everyone of the catastrophic Coldcard entropy bug that’s letting attackers regenerate users’ keys and drain wallets without device access.

I walk through concrete, step‑by‑step instructions to move your coins to safety (including using Sparrow, Nunchuck, and even exchanges as a last resort), who’s most at risk across MK3, MK4, MK5, and Q devices, and what this means for hardware wallets, AI‑driven security research, and multi‑sig going forward.

This is the worst hit to self custody in Bitcoin's history. All we can do is act as quickly as possible. If you have a coldcard in your setup, you need to move to safe keys or cycle your multisig, don't wait, don't assume you have time, sit down and get it done. Do it carefully and don't skip steps.

Here are a few of the quickest paths to safety and how to think about this going forward. To everyone who got hit by this, I cannot be more sorry.

Chapters

(00:00:00) - Coldcard bug red alert

(00:02:07) - MK3 absolute worst case

(00:03:16) - Other wallets who’s safe

(00:04:33) - Links confirmation panic check

(00:05:18) - Dice entropy and urgency

(00:05:56) - MK4 MK5 Q risk

(00:06:57) - Fastest escape route

(00:08:59) - Recovering with just seed

(00:09:43) - When to use exchange

(00:11:03) - Multisig exposure lessons

(00:16:35) - Personal note

Affiliate Links

• Become sovereign, hold your keys, be censorship resistant with the Bitbox hardware wallet. Get 5% off everything in the store with code GUY (Link: https://bitbox.swiss/guy/)
• Get 10% off the best Bitcoin board game in the world, HODLUP! Or any of the other great games from The Free Market Kids! Use code GUY10 at checkout for 10% off your cart! (Link: https://www.freemarketkids.com/collections/games-1)

References from the episode\

• Coinkite Security Advisory: https://blog.coinkite.com/coldcard-mk3-seed-generation-warning/\
• Predictable RNG Fallback and 32-Bit Reseed in COLDCARD Firmware (Block): https://engineering.block.xyz/blog/predictable-rng-fallback-and-32-bit-reseed-in-coldcard-firmware Host Links ⁠Guy on Nostr ⁠(Link: http://tinyurl.com/2xc96ney) ⁠Guy on X ⁠(Link: https://twitter.com/theguyswann) Guy on Instagram (Link: https://www.instagram.com/theguyswann) Guy on TikTok (Link: https://www.tiktok.com/@theguyswann) Guy's Takes on YouTube (Link: https://www.youtube.com/@GuysTake) Guy Swann on YouTube (Link: https://www.youtube.com/@theguyswann) ⁠Bitcoin Audible on X⁠ (Link: https://twitter.com/BitcoinAudible) The Guy Swann Network Broadcast Room on Keet (Link: https://tinyurl.com/3na6v839)

There is a massive miscommunication tearing Bitcoiners apart right now. Instead of arguing over specific code like BIP 110, I want to ask a much harder question in this solo take: Is it actually censorship to address spam?

I'll explain why prioritizing financial transactions over JPEGs isn't authoritarianism, and why claiming it is destroys our ability to protect the network. We built a protocol for decentralized money, not unlimited file storage. Let's talk about what real censorship actually means.

Chapters

(00:00:00) - "Censorship" and Spam

(00:01:41) - The analogy

(00:02:52) - Free speech and limits

(00:04:54) - The trick

(00:06:30) - Size limits vs censorship

(00:08:06) - What censorship really is

(00:10:48) - The Motte and Bailey argument

(00:14:45) - Bitcoin is for money

(00:16:20) - Is limiting spam censorship?

Affiliate Links

• Become sovereign, hold your keys, be censorship resistant with the Bitbox hardware wallet. Get 5% off everything in the store with code GUY (Link: https://bitbox.swiss/guy/)
• Get 10% off the best Bitcoin board game in the world, HODLUP! Or any of the other great games from The Free Market Kids! Use code GUY10 at checkout for 10% off your cart! (Link: https://www.freemarketkids.com/collections/games-1)

Host Links

⁠Guy on Nostr ⁠(Link: http://tinyurl.com/2xc96ney)

⁠Guy on X ⁠(Link: https://twitter.com/theguyswann)

Guy on Instagram (Link: https://www.instagram.com/theguyswann)

Guy on TikTok (Link: https://www.tiktok.com/@theguyswann)

Guy's Takes on YouTube (Link: https://www.youtube.com/@GuysTake)

Guy Swann on YouTube (Link: https://www.youtube.com/@theguyswann)

⁠Bitcoin Audible on X⁠ (Link: https://twitter.com/BitcoinAudible)

The Guy Swann Network Broadcast Room on Keet (Link: https://tinyurl.com/3na6v839)

References from the episode

Coronavirus: Staying safe and informed on Twitter (12 January 2021): https://tinyurl.com/2cb4fxej

X - Updating our approach to misleading information (11 May 2020): https://tinyurl.com/285vdpbe

Block 960074 (Mempool.space): https://tinyurl.com/29rr7lwg

Bitcoin Whitepaper: https://tinyurl.com/kkxbyss

Giacomo Zucco X post: https://tinyurl.com/2yhf55q6