Ledger investigates significant fund losses tied to CryptoBilis reseller

Hardware wallets are sold on one big promise: your keys stay offline, so your coins stay yours. Ledger is now telling some of its customers not to even switch their devices on. On October 9, 2026, Ledger Support said it was investigating significant fund losses reported by users who bought devices from CryptoBilis, an authorized Ledger reseller in Southeast Asia. What Ledger is telling users As a precaution, Ledger instructed CryptoBilis to stop all sales and shipments while the investigation runs. Ledger’s guidance splits buyers into two camps. Anyone who got a device from CryptoBilis in the past 90 days and hasn’t set it up yet should leave it uninitialized. Anyone who already set one up is being encouraged to move their assets to a new Ledger device, initialized with a fresh seed phrase. A seed phrase is the master backup, the list of words that can rebuild your wallet anywhere. If that list was compromised before it ever reached you, a new device with new words is the only clean slate. The money trail The size of the problem came into focus through independent on-chain sleuths rather than an official tally. Analysts including Specter and tanuki42 found that over $86 million had...