Hi people, someone just lost his life saving of $30K using a tempered brand new Nano Ledger. The thief used a low tech scam by inserting a pre determined seed keys via a scratch off paper. The user thinks the Scratch Off seeds is legitimate and use the supplied key only to loose all his savings. This could be prevented if he could just ignore the Scratch Off and generate the seeds from the device it self or better still reset the device.
So, if you're buying a new Nano Ledger wallet... please buy from a verified/refutable reseller or directly from the manufacturer. It's foolish to save $50 bucks for string your life saving.
Here's the response from Ledger Ceo regarding the above scam:
"Ledger CEO here.
This is a low tech scam, not involving any tampering of the device (no need to do that). It relies on the fact that new users wouldn't find strange to have a predefined seed. It is quite difficult to mitigate this kind of scams. Even with the warning on our apps page (https://www.ledgerwallet.com/apps) users are not paying a lot of attention when using the devices. Having a "anti tamper seal" wouldn't do much. In this case there wasn't even a plastic wrap on the casing and it didn't create any suspicion. Moreover, it is trivial to duplicate any cardbox or anti tampering seal.
Our actions regarding this scam are the following:
- we have contacted all victims of the scams and we are creating a task force with our General Counsel and a jut hired Trust & Safety Manager. We'll help file formal criminal complaint and will do everything we can to bring the scammer(s) to justice
- we are implemting extra safety protocols in our firmware to notify the apps in case a PIN has been changed or a seed has been restored to display warnings and reminders about the importance of having self generating the seed
- we are adding more enphasis on seed safety management on our FAQs and tutorials
This is just the beginning. With an incoming trillion dollars crypto market cap and millions of new uses worldwide, low tech and high tech scams will be more and more present. It is our global responsability as hardware wallet makers to prevent any counterfeit (for instance through cryptographic attestation) and enforce safety protocols ensuring the user is aware he must have generated the seed on her own."
More details:
Original post by the victim
https://np.reddit.com/r/ledgerwallet/comments/7obot7/all_my_cryptocurrency_stolen/
This is how it looks, if you receive something like this ... please don't use it and the best thing to do is to reset the device before using it. Be cautious, this only applies to brand new Nano Ledger Wallet.
More Pictures of the scam "Scratch Off Wallet Seed Paper"
https://imgur.com/a/pw9L0
I'll be more than happy to get some dust over here:
BTC
18iUioH92QQLftSFyoJRuVfSRLHEZMYWhC
DASH
XnokAwXiCcBeRrmGNsMuqr1xAqmfWAZPeV
ETC
0x59BA165282E12d7aAC5C1cA37b19CA09B5ebAA2F
LiteCoin
Lb43WpWnxKyCxvjCfFC6prCZ4Eygm7e37w