Ledger Pauses Reseller Sales After Hardware Implant Found in Wallet Linked to Crypto Thefts

Cryptocurrency hardware wallet maker Ledger has temporarily paused sales of its products through the reseller CryptoBilis. The move follows reports of stolen funds from users in Southeast Asia who bought devices from the reseller. A pseudonymous blockchain investigator known as Specter says the losses total more than $86 million. Ledger has since revealed that one affected user's device contained an unauthorised hardware implant, and it is contacting impacted users as its investigation continues. CryptoBilis has stopped selling all hardware wallet stock until the probe concludes.

Ledger advised anyone who bought from this reseller in the last 90 days not to start setup if they have not already done so. Users who have already set up a device should consider moving their assets to a new Ledger signer with a new seed. CryptoBilis warned that a recovery phrase must be generated by the device during setup and written down by the owner. If a device arrives with a phrase already printed or written down, or if anyone else has seen the phrase, the wallet should be treated as unsafe. It also stressed that neither company will ever ask for a recovery phrase or PIN, and that offers to recover lost funds are almost always scams.

In an update on October 11, 2026, Ledger said a limited number of devices were affected, and all confirmed cases involve devices sold through CryptoBilis. It told resellers and distributors to source stock only from authorised channels and never to restock returned products. It also urged users to avoid unauthorised resellers, where the risk of counterfeit or modified devices is higher.