Self custody is not a problem, what happened is that generating your seed with a ColdCard MK3 would not have enough entropy, making your private key easy to be guessed, thats it. Your MK3 is still usable, but you should NOT use it to generate a seed, instead you have to use any other solution to generate your seed and then load it on your MK3.
Your MK3 is not useless, it still works as intended.
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