The Era of Cheap Bugs, Water utility attacks spread to 12 states, Coldcard wallet losses could hit 130 million

Passkeys Phished at BlackHat, Water Utility Attacks Spread, and $130M ColdCard Wallet Flaw

In this August 7, 2026 episode, David Shipley recaps key Black Hat themes, including Microsoft's warning that cheap, automated vulnerability discovery is outpacing patching, alongside research showing exploit success against AI agents and weaknesses across agent frameworks, plus notable hardware and supply-chain hacks.

The show details BlackHat and Unit 42 findings that passkeys on Windows and Chrome can be phished or abused through logging, validation gaps, and malware techniques, undermining "phishing-resistant" claims.

It also covers cyber incidents impacting water utilities across at least 12 U.S. states, with manual operations and boil-water advisories but safe drinking water, and Forescout's count of thousands of exposed Rockwell controllers.

Finally, it updates the ColdCard seed-generation flaw with potential losses up to 2,000 BTC and reports indictments tied to a violent crypto "wrench attack."

00:00 Sponsor NordLayer
00:38 Headlines Passkeys Water Crypto
01:07 Black Hat Cheap Offense
02:43 Rogue AI Incidents
03:18 Passkeys Phished Windows
04:55 Chrome Synced Passkeys Flaws
05:53 Water Utilities Under Attack
08:20 ColdCard Wallet Losses
09:59 Wrench Attack Crypto Robbery
12:24 Wrap Up And Thanks
13:05 Sponsor NordLayer Reminder