- Ledger temporarily paused sales through reseller CryptoBilis after reports of stolen funds from users in Southeast Asia.
- Pseudonymous investigator Specter estimates the incident caused losses exceeding $86 million.
- One affected device contained an unauthorized hardware implant, prompting Ledger to advise moving assets to a new signer with a new seed.
- Confirmed cases appear limited to devices sold via CryptoBilis, and the reseller has halted all hardware wallet sales.
On Friday, hardware wallet maker Ledger temporarily paused sales through reseller CryptoBilis after reports of loss of funds from users in Southeast Asia who purchased products from the reseller.
According to pseudonymous blockchain investigator Specter, the incident resulted in losses totaling more than $86 million. Ledger said it was investigating the reports.
In an X post, Ledger recommended users who bought from CryptoBilis in the last 90 days not to initiate setup if they had not already done so. “If you have set up your Ledger device, consider moving assets to a new Ledger signer (with new seed),” the company said.
The company later revealed that one affected device contained an unauthorized hardware implant. Consequently, CryptoBilis ceased sales of all hardware wallet inventory until the investigation is concluded.
CryptoBilis warned that recovery phrases must be generated by the device and written down by the user. “If your device came with a recovery phrase already printed or written on a card or sheet, or if anyone other than you has seen your recovery phrase, treat your wallet as unsafe.”
Meanwhile, in a follow-up update on October 11, 2026, Ledger acknowledged that a limited number of devices were impacted. All confirmed cases involve devices sold through CryptoBilis.
The company advised resellers to source products only through authorized channels and never restock returned products. “We strongly advise users not to purchase from unauthorized resellers,” Ledger added.
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