Major incidents like the Mt. Gox hack in 2014, where $350 million worth of Bitcoin was stolen, the 2016 Bitfinex hack with $71 million stolen, and the 2018 Coincheck hack involving $534 million in NEM, highlight the risks associated with centralized crypto platforms. More recently, the 2026 Coldcard hardware wallet exploit drained approximately $116 million in Bitcoin due to a firmware flaw.