Bitcoin Security Scare Deepens As ‘Critical’ Exploits Hit Major Projects

08/08 update below. This post was originally published on August 06

Bitcoin and crypto traders are still reeling from a massive $100 million bitcoin attack that sparked fears of a fresh bitcoin price crash.

The bitcoin price has rebounded since the attack on hardware wallet Coldcard was first reported but remains near its recent lows, leaving traders nervously braced for a dramatic shock.

Now, as Elon Musk issues a game-changing prediction, bitcoin developers have used AI tools to find almost 5,000 security vulnerabilities across almost 400 projects in just 24 hours.

A volunteer group of bitcoin developers is carrying out a coordinated security audit that’s already found the situation is "extremely bad," identifying around 5,000 security vulnerabilities across almost 400 projects in 24 hours.

The findings include 85 critical and 635 high-severity bugs, most of which have already been verified by project owners.

08/08 update: Developers of the free, open-source bitcoin payment processor BTCPay have urged users to update their servers as a critical vulnerability is being "actively" exploited.

“We have confirmed that attackers exploited this vulnerability,” BTCPay’s X account posted. “Users were affected and funds were stolen. We are not publishing technical details yet because operators still need time to update.”