Ledger Investigates Crypto Theft Reports

Ledger Probes Crypto Theft Reports from Southeast Asia Reseller

Incident Overview

Ledger has initiated a probe into reports of theft of customers' funds who bought from one of its authorized resellers in Southeast Asia. On Friday, Ledger confirmed it was looking into reports of crypto thefts involving users who bought hardware wallets from CryptoBilis, one of its authorized resellers in Malaysia.

Response from Ledger

As a precautionary measure, Ledger has urged CryptoBilis to halt all sales and shipping of Ledger hardware until the investigation is over. In addition, Ledger urgently warned customers who bought from the reseller in the last 90 days not to initialize their wallets if they haven't already. For those who have initialized their wallets, Ledger has suggested they may wish to move their crypto assets to a new Ledger hardware wallet with a new recovery phrase.

Industry Response

Binance co-founder Changpeng Zhao (CZ) has responded to the incident, suggesting that the alleged thefts may be the result of a supply chain attack involving counterfeit or tampered hardware wallets. "Beware if you use a Ledger HW wallet. Especially if you got one recently," CZ said on X. CZ also came to Ledger's defense in the crypto space, noting that Ledger is one of the oldest and most secure hardware wallet manufacturers.

Expert Insights

Blockchain investigator Specter estimates the potential thefts have led to losses that have surpassed $86 million. The blockchain investigator claims it's possible that hundreds of crypto wallets on Bitcoin, Ethereum, and Tron networks may have been affected. However, Ledger has not confirmed the alleged loss or even whether all the incidents may be related to this one particular reseller.

Conclusion

Ledger has promised to keep the community updated on this investigation. They have also encouraged those who may have been affected by this to reach out to their official support channels.