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Ledger finds covert cellular implant stole hardware wallet recovery phrases from screens
- On Tuesday, Ledger confirmed that an unauthorized hardware implant in devices sold by Southeast Asian reseller CryptoBilis captures users' 24-word recovery phrases and transmits them over LTE networks using an embedded SIM.
- The incident surfaced Friday after cryptocurrency losses were reported involving Ledger devices purchased through CryptoBilis, which operated as an authorized reseller in Indonesia, Malaysia, and the Philippines.
- Inside the device casing, the implant monitors information displayed on the screen during setup, though Ledger stated it does not modify the Secure Element, the chip responsible for protecting private keys.
- CryptoBilis suspended all sales following the findings, while OneKey and Trezor terminated their reseller authorization agreements; blockchain analytics firms estimate potential cryptocurrency thefts range from $86 million to $103 million.
- Customers who purchased signers through CryptoBilis were advised to contact Ledger Support and avoid initializing devices, as the company continues examining hardware and has not verified reports of tampered devices from other channels.
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32 Articles
32 Articles
Ledger Wallets Compromised by Hidden eSIM Implants in Supply Chain Attack
Thieves inserted eSIMs and LTE modules into Ledger Nano X wallets sold via resellers, capturing recovery phrases off the screen and transmitting them over cellular networks. Over $100 million stolen from hundreds of devices in a sophisticated supply chain attack. Ledger confirms the implants bypassed its secure element while urging users to verify sources and migrate funds.
Ledger Says Unauthorized Component in CryptoBilis Wallets Leaked Recovery Phrases Over Cellular
Ledger said the add-on part, found in devices from a Southeast Asian reseller, left its Secure Element and operating system untouched, and that every confirmed drain so far involves a CryptoBilis-sold signer.
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Total News Sources32
Leaning Left1Leaning Right0Center5Last UpdatedBias Distribution83% Center
Bias Distribution
- 83% of the sources are Center
83% Center
L 17%
C 83%
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