Summary
- According to on-chain analytics firm Santiment, wallets holding between 10 and 10,000 BTC accumulated an additional 19,610 BTC after the Coldcard incident.
- Bitcoin holdings in small wallets with less than 0.01 BTC fell 0.55% over the same period.
- Santiment said the Coldcard wallet flaw in random number generation undermined confidence in hardware wallets, driving more selling by small investors while large wallets absorbed the supply.
Large Bitcoin holders bought after a security flaw surfaced in Coldcard hardware wallets, while small investors trimmed their holdings.
On-chain analytics firm Santiment said on Aug. 3 that wallets holding 10 BTC to 10,000 BTC accumulated a combined 19,610 BTC after July 29. Their holdings increased 0.14% over that period.
By contrast, Bitcoin holdings in wallets with less than 0.01 BTC fell 0.55% during the same stretch.
Santiment said the trend coincided with the disclosure of a defect in Coldcard wallets' random number generation. Losses linked to the flaw were estimated at more than 1,360 BTC, or about $87 million.
Confidence in hardware wallets has been shaken, prompting even unaffected small investors to reduce their holdings, Santiment wrote. Large wallets are absorbing the selling from smaller holders.
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