Ledger confirms unauthorized hardware implant; losses may exceed $86M

Hardware wallet maker Ledger, which has been investigating reports of crypto losses involving its devices purchased from a Southeast Asian reseller, confirmed that one of the impacted users’ devices contained an unauthorized hardware implant.

Ledger said in a Sunday post on X that it was reaching out to users as part of its ongoing investigation into the losses, which investigator Specter estimated may exceed $86 million across Bitcoin, Ethereum and Tron.

Ledger asked that if individuals have information regarding the investigation, could they please reach out to its bounty program at bounty@ledger.fr.

As a measure of precaution, reseller CryptoBilis confirmed in the post that it had ceased sales of all hardware wallet inventory until the investigation is concluded. Ledger is in active communication with CryptoBilis on next steps.

Related: Ledger investigates fund losses linked to Southeast Asian reseller, warns users

Ledger recommends users who purchased one of their devices from this reseller to not initiate set-up if they have not yet done so. If they have set up their Ledger device, they should consider moving assets to a new Ledger signer (with a new seed).

Cointelegraph reported on Friday that CryptoBilis was listed as an authorized Ledger reseller in Indonesia, Malaysia and the Philippines.