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Ledger confirms a spy implant in wallets sold through a reseller

Some Ledger wallets sold by Malaysian distributor CryptoBilis carried a hidden device. Researchers estimate losses at $70–93 million.

Ledger investigated reports of lost funds from users in Southeast Asia and confirmed that at least one device sold through CryptoBilis contained an unauthorized hardware implant, meaning it was tampered with somewhere between the factory and the buyer. Ledger says devices it sells directly are not affected.

On-chain researchers (Specter, MistTrack) put the losses between $70 million and $93 million, drained from hundreds of addresses on Bitcoin, Ethereum and Tron. Most victims are in Indonesia, Malaysia and the Philippines.

Ledger asked CryptoBilis to pause sales. Anyone who bought a device from this seller in the past three months should not set it up, and anyone who already did should move funds to a new device with a new recovery phrase.

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Sources: Crowdfund Insider, BleepingComputer, KuCoin

  • #security
  • #ledger
  • #wallets
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