Ledger has asked all resellers and distributors across six Southeast Asian countries and Hong Kong to halt sales and pull its hardware devices from store shelves. The recall order covers Indonesia, Singapore, Thailand, the Philippines, Vietnam, Malaysia, and Hong Kong amid an ongoing investigation into tampered units. The move expands a security crisis for Ledger that first surfaced publicly on Oct. 9, 2026.
Investigation Expands Beyond CryptoBilis Case
The sales suspension across the seven regions broadens enforcement actions that previously targeted only reseller CryptoBilis. The case began unfolding on Oct. 9 after reports of cryptocurrency theft emerged from users who purchased hardware through the retail partner. Reported losses have reached $94 million, involving illicit eSIM implants engineered to steal recovery phrases directly from the device screen upon startup.
Investigators are still working to identify the perpetrators behind the compromised hardware and determine at what stage in the distribution chain physical manipulation was introduced. Amid heightened scrutiny of third-party networks, Ledger maintained that its infrastructure, network systems, services, and direct sales channels remain secure and uncompromised.
Tampering Reports Begin Surfacing in Europe
The fallout from the investigation is now extending beyond Southeast Asia. Since initial reports circulated widely, users in other regions, including Europe, have also reported suspected tampering on units purchased from third-party retailers. These reports from other continents have amplified concerns regarding the security of hardware circulating outside authorized sales channels.
Addressing the developments outside the region, Ledger underscored the scope of its findings. “The confirmed incidents to date remain confined to Southeast Asia. We have not verified any drained assets linked to devices purchased elsewhere,” Ledger stated in an official release.
Supply chain concerns have also triggered responses from rival manufacturers. Trezor announced it will sever all ties with third-party resellers beginning in 2027 as a preemptive measure to safeguard its products against similar supply-chain attacks.
For crypto holders, the sales halt across the seven regions highlights the persistent risks surrounding intermediary distribution channels. Until investigators identify the culprits and the exact point of physical tampering, vigilance regarding a device’s provenance remains paramount to safeguarding funds.
Reported via Cointelegraph.
Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
