Ledger reveals how hidden chips stole wallet recovery keys

Ledger has confirmed that an unauthorized hardware implant found inside a cryptocurrency signer sold by Southeast Asian reseller CryptoBilis can capture users’ 24-word recovery phrases and transmit them through a cellular network. Ledger disclosed the findings on October 13, following an investigation by its Donjon security team into cryptocurrency losses reported on October 9. The company confirmed the presence of an implant in one affected customer’s device on October 10 and said every fund loss it has verified in the incident involved devices purchased through CryptoBilis. The reseller has suspended Ledger signer sales while investigators examine the affected hardware.

BeCrypto News shows a short excerpt and links to the publisher. The full report belongs to crypto.news.