Coinkite, the manufacturer of Coldcard hardware wallets, and co-founders Rodolfo Novak and Peter D. Gray face a class action lawsuit filed in the Ontario Superior Court of Justice. The suit alleges that a firmware build error introduced in March 2021 switched the device's seed generation to MicroPython's Yasmarang pseudo-random number generator, making seed phrases reproducible and vulnerable to exploitation. Attackers began exploiting the vulnerability on July 30, 2026, stealing approximately 594 BTC within the first 25 minutes, with cumulative losses exceeding $140 million. Plaintiffs claim the founders were aware of the flaw no later than May 2025. The lawsuit seeks class certification and damages under Ontario's Consumer Protection Act and other applicable laws.