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Ledger confirms hardware wallet spy implant behind crypto thefts

Ledger said the implant could read 24-word recovery phrases during setup and transmit them through a cellular connection, with losses topping $86 million.

  • Ledger is investigating reports of stolen funds from devices sold by Southeast Asian reseller CryptoBilis, with Bitcoin prices remaining resilient above $83,000 despite the reported exploit.
  • Ledger's Donjon security team identified an unauthorized hardware implant that captures recovery phrases during device setup via LTE connection, leaving the Secure Element and operating system untouched.
  • Blockchain researchers estimate losses exceeding $86 million across multiple chains, though Ledger has not verified the total amount or the specific number of affected customers.
  • On October 15, 2026, Ledger introduced new security requirements for authorized retailers and unveiled its $849 Atom device, expected for delivery in 2027.
  • As the investigation into supply-chain tampering remains ongoing, the company continues reviewing reseller controls and working with law enforcement to trace stolen funds.
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TokenPost broke the news on Friday, October 9, 2026.
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