Weak Seed Phrase Generator Lets Attackers Bleed $5M from Crypto Wallets
Coinspect disclosed the ‘Ill Bloom’ flaw – weak randomness in recovery‑phrase generation – that leaves thousands of software wallets across Bitcoin, Ethereum, Polygon, Tron and others exposed. Since May 27, attackers have siphoned at least $5 million, compromising 431 of the 2,114 vulnerable addresses. Users must generate a fresh wallet with a trusted seed source; hardware wallets remain safe.