Singapore police said at least two cases involving tampered Ledger hardware wallets have caused losses of about S$3.5 million ($2.7 million) since September 10. The disclosure comes as authorities investigate suspected supply-chain compromises involving Ledger devices sold through third-party retailers across Southeast Asia — a category of breach in which products are altered between manufacture and sale rather than through a company's own systems.

Preliminary investigations found that some Ledger devices purchased from local retail stores contained malicious hardware components capable of capturing users’ private keys or recovery phrases. Attackers could potentially use that information to access cryptocurrency wallets and transfer funds without authorization.

Ledger has asked resellers in Singapore, Malaysia, Indonesia, Thailand, the Philippines, Vietnam and Hong Kong to suspend sales while investigations continue. The company said it has no indication that its own systems, services or direct sales channels were compromised. The suspension puts the third-party retail channel on hold across all seven markets while the inquiry proceeds.

Singapore police said they are working with Ledger on the investigation. The incident highlights a security risk beyond conventional crypto hacks: hardware wallets can be compromised before they reach users, undermining the protection normally provided by keeping private keys offline.

Police urged users with suspected tampered devices to stop using them, avoid entering their recovery phrases and contact wallet providers through official support channels. How the tampered units entered the retail channel, and the scope of any further cases, remain open as the police and Ledger investigation continues.

BitcoinKE also referenced related reports, including “Europe’s Largest Consumer Electronics Retailer Removes Ledger Wallets Internationally” and “Ledger Confirms Hardware Wallet Implant with Reported Crypto Losses Exceeding Over $80 Million”.

Source: BitcoinKE