The Coldcard exploit, one of the largest known thefts tied to a bitcoin hardware-wallet flaw, appears to be prompting users to move assets to centralized exchanges, OKX Chief Compliance Officer Jonathan Brockmeier told The Block.
"We're seeing record levels of inflows now to centralized exchanges post-Coldcard," Brockmeier said.
"It's interesting — it's sort of the flip side of FTX.
FTX happens and everybody moves their money into self-custody and it's coming back now." With fraud and exploits continuing to be a major concern across digital assets, Brockmeier said OKX has been stepping up efforts to combat customer losses, including by using artificial intelligence to flag potential risks.
"Self-custody puts a lot on the user and asks them to be their own security engineer," Brockmeier added.
