Ledger incident losses near $90 million as Tether freezes linked USDT, MistTrack says

Ledger incident losses near $90 million as Tether freezes linked USDT, MistTrack says

Former Mt. Gox CEO Mark Karpelès has asked Ledger users affected by reported fund losses to help investigate possible hardware tampering.

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by John Chen

Nearly $90 million in losses have been tracked in connection with the Ledger security incident, while Tether has frozen USDT held at addresses linked to the case, according to blockchain tracker MistTrack.

The incident surfaced this morning after on-chain analyst Specter said wallet-draining attacks reported by Ledger users on X and Reddit may have resulted in more than $86 million in losses.

Specter said they traced the addresses receiving the stolen funds and identified inflows from hundreds of victim wallets across several major blockchains, including Ethereum, TRON and Bitcoin.

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Ledger said it is investigating the case, which reportedly affected customers in Southeast Asia who purchased its hardware wallets through reseller “CryptoBilis.” The company has also asked “CryptoBilis” to suspend all sales and shipments of Ledger devices while the investigation is underway.

MistTrack said some affected users had contacted its team for assistance and that it was actively following up on their cases.

Concerns over possible Ledger hardware tampering

Mark Karpelès, the former CEO of Mt. Gox, said the Ledger security incident appeared potentially connected to an issue he was investigating.

Days before the case came to light, he warned users about buying Ledger hardware wallets from suspicious sellers and alleged that tampered devices could contain a surveillance implant with a SIM card.

In a follow-up statement, Karpelès urged affected users to contact him or send photographs of their Ledger circuit boards for inspection. The potential connection remains unconfirmed.

Binance founder Changpeng ‘CZ’ Zhao said that reported Ledger-related fund losses may be linked to a supply chain attack involving a single vendor, warning users who had recently purchased the hardware wallets to exercise caution. He suggested some customers may have bought counterfeit or compromised devices.

Zhao also called on the BNB ecosystem and the wider crypto industry to help trace the stolen assets and recover the funds.

Disclosure: This article was edited by John Chen. For more information on how we create and review content, see our Editorial Policy.
FINANCE
Ledger incident losses near $90 million as Tether freezes linked USDT, MistTrack says
Ledger incident losses near $90 million as Tether freezes linked USDT, MistTrack says

Former Mt. Gox CEO Mark Karpelès has asked Ledger users affected by reported fund losses to help investigate possible hardware tampering.

by John Chen

Share

Add us on Google

Nearly $90 million in losses have been tracked in connection with the Ledger security incident, while Tether has frozen USDT held at addresses linked to the case, according to blockchain tracker MistTrack.

The incident surfaced this morning after on-chain analyst Specter said wallet-draining attacks reported by Ledger users on X and Reddit may have resulted in more than $86 million in losses.

Specter said they traced the addresses receiving the stolen funds and identified inflows from hundreds of victim wallets across several major blockchains, including Ethereum, TRON and Bitcoin.

Advertisement

Ledger said it is investigating the case, which reportedly affected customers in Southeast Asia who purchased its hardware wallets through reseller “CryptoBilis.” The company has also asked “CryptoBilis” to suspend all sales and shipments of Ledger devices while the investigation is underway.

MistTrack said some affected users had contacted its team for assistance and that it was actively following up on their cases.

Concerns over possible Ledger hardware tampering

Mark Karpelès, the former CEO of Mt. Gox, said the Ledger security incident appeared potentially connected to an issue he was investigating.

Days before the case came to light, he warned users about buying Ledger hardware wallets from suspicious sellers and alleged that tampered devices could contain a surveillance implant with a SIM card.

In a follow-up statement, Karpelès urged affected users to contact him or send photographs of their Ledger circuit boards for inspection. The potential connection remains unconfirmed.

Binance founder Changpeng ‘CZ’ Zhao said that reported Ledger-related fund losses may be linked to a supply chain attack involving a single vendor, warning users who had recently purchased the hardware wallets to exercise caution. He suggested some customers may have bought counterfeit or compromised devices.

Zhao also called on the BNB ecosystem and the wider crypto industry to help trace the stolen assets and recover the funds.

Disclosure: This article was edited by John Chen. For more information on how we create and review content, see our Editorial Policy.