Ledger Investigates Possible Wallet Tampering Following $86 Million Theft Reports
Written with artificial intelligence.
Ledger is looking into potential tampering of its hardware wallets sold by a Southeast Asian reseller, linked to an alleged $86 million theft from user accounts. The company has advised customers who purchased these devices to refrain from setting them up and consider transferring their assets to new wallets.
Investigation into Alleged Theft
Ledger, a prominent maker of hardware wallets, has initiated an investigation after reports surfaced of approximately $86 million in cryptocurrency stolen from wallets. The suspected theft is associated with devices sold through a Southeast Asian reseller, CryptoBilis. Reports from blockchain investigator Specter noted that the stolen assets may span across Bitcoin, Ethereum, and Tron addresses.
Customer Advisory
In light of these reports, Ledger has asked CryptoBilis to halt all sales and shipments of its devices. Customers who bought wallets from this reseller within the last 90 days are advised not to set them up. For those who have already activated their wallets, Ledger recommends transferring their assets to a new device generated with a new recovery phrase to ensure security.
Context of the Incident
This potential security issue arises amid a challenging year for crypto safety, with significant exploits reported across the industry. Notably, the crypto exchange Bitget recently experienced a breach leading to over $350 million in stolen assets. Other incidents include losses from Liquid Network, Drift, and Kelp, contributing to growing concerns about security within the crypto market.
Nature of the Threat
While Ledger has confirmed the investigation, it has not verified the total amount stolen or identified the cause of the losses. A possible scenario being examined is a supply-chain attack, where hardware wallets could be tampered with prior to reaching customers. This differs from a direct breach of Ledger’s systems. Currently, there is no confirmed evidence that Ledger's own technology was compromised. The company promises to provide further updates as the investigation unfolds.