The misconfiguration issue does not affect USB or NFC security keys, just the BLE version of Titan Security Keys. The matter doesn't affect the device's primary objective - thwarting phishing attempts - but could allow an attacker within physical proximity when it is used to gain access to it or its paired device. It allows a so-called Man in The Middle (MiTM) attack, in which someone could get between your Titan key and the device it's communicating with. When the security key is used to log into an account, an attacker could use their own device to connect to the user's computer and log into the account.
There's also a scenario in which a nearby attacker could spoof a key and connect to the victim's device at the moment the key button is pressed.
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Or, they could, in effect, use their device as a Bluetooth accessory like a keyboard to take control of your computer. You can find out if you own a faulty Bluetooth Titan Security Key by checking the back of the device.
The bug can't be fixed with a security update so Google is asking users to check whether their key is affected and, if it is, to ask for a replacement one to be sent to them free of charge.
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The Bluetooth-enabled devices are one variety of low-priced security keys that, as Ars reported in 2016, represent the single most effective way to prevent account takeovers for sites that support the protection.
Affected owners can also continue using the Bluetooth Titan Security Key, but Google recommends doing so only in private spaces.
Google's keyfob uses NFC (near-field communications) as well, which is stronger and safer than BLE, but iOS devices don't work well with NFC-based security keys, with the exception of Yubico's latest keys.
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"However, there is no such thing as ideal technology, so I'm glad Google is taking the initiative and recalling these keys". The device connects with other hardware via Bluetooth pairing. To get a replacement, you should head to google.com/replacemykey. If they are not already signed into their Google Account on the iOS device and are locked out, they can use the instructions available HERE to get back into their accounts. You can use your key in this manner again while waiting for your replacement, until you update to iOS 12.3. "While Yubico previously initiated development of a BLE security key, and contributed to the BLE U2F standards work, we decided not to launch the product as it does not meet our standards for security, usability and durability". Google is also still recommending that people use the keys in their current state as some protection is better than none. An Android update scheduled for next month will automatically unpair Bluetooth security keys so users won't have to do it manually.