Ledger describes an attack using hidden components in wallets
Ledger publishes findings from its investigation: attackers bought genuine devices, fitted hidden electronics inside them and put them back on sale through resellers in Southeast Asia. The added components were designed to capture the Seed Phrase—the words used to restore a wallet—during initial setup, enabling the attackers to steal funds. The manufacturer says the attack did not exploit a flaw in its chip, operating system or servers. It asks resellers to suspend sales in Southeast Asia and Hong Kong and tightens stock and returns handling. The case shows why a device’s journey to its owner matters too.