From CoinDesk · By Omkar Godbole, AI Boost
Ledger confirmed that a device tied to recent cryptocurrency thefts contained an unauthorized hardware implant, with all known cases involving wallets sold by the Southeast Asian reseller CryptoBilis.
On-chain researchers estimate that $86 million to $93 million was stolen from more than 300 wallets, though Ledger said its internal systems and direct sales channels were not compromised.
Ledger advised CryptoBilis customers not to initialize unused devices and told those with active wallets to move their funds to a new seed on a device obtained directly from Ledger.
Crypto wallet manufacturer Ledger has confirmed that a device linked to recent user fund losses contained an unauthorized hardware implant. According to the company, all confirmed cases identified so far involve products distributed through the Southeast Asian reseller CryptoBilis.
In a statement released on Oct. 10, Ledger Support stated, “Ledger can confirm that one of the impacted users’ devices contained an unauthorized hardware implant.” The company added that it is actively contacting affected users as part of an ongoing investigation, and that CryptoBilis has suspended sales of all hardware wallet inventory until the investigation concludes.
In a follow-up update on Oct. 11, Ledger noted that the volume of impacted devices appears limited. “To date, all confirmed cases related to the disclosed draining incident of Oct 9th, 2026, involve devices sold through the Southeast Asia reseller CryptoBilis,” the company stated, adding that its internal systems and direct sales channels remain unaffected.
The confirmation of a physical implant marks the first concrete evidence supporting earlier speculation of supply-chain tampering.
The incident first came to light on Friday, when Ledger acknowledged investigating reports of missing funds from customers who purchased devices through CryptoBilis, which operates in Indonesia, Malaysia, and the Philippines.
While Ledger has not confirmed an official loss, third-party on-chain researchers have estimated the loss at between $86 million and $93 million from more than 300 wallets across multiple blockchains, including Bitcoin, Ethereum, and Tron. The company reiterated that it there is no indicattion that its own internal security infrastructure, systems, or services were compromised.
Ledger stated it is cooperating with relevant authorities on Sunday. The company also reminded its network of distributors to source products exclusively through authorized channels and strictly prohibited the restocking of returned products.
The company repeated its earlier security guidance to pcustomers who purchased devices via CryptoBilis: “Do not initialize unused devices. If already set up, move to a new seed on a device from Ledger.” The company urged affected users to contact official Ledger Support and file complaints with local law enforcement.