Ledger Says CryptoBilis Exploit Cases Are Limited, $93M Traced and $10M Frozen

WHY IT MATTERS

Hardware wallets like those made by Ledger are physical devices designed to store cryptocurrency offline, similar to keeping valuables in a safe rather than leaving them on a table. When an exploit — a security flaw that attackers take advantage of — affects users of these devices, it raises concerns about the safety of self-custody, which is the practice of holding your own crypto rather than leaving it on an exchange. The fact that investigators were able to trace $93 million shows that blockchain transactions are publicly visible and can be followed, much like tracking a package through a delivery system. However, tracing funds and actually recovering them are two different things, which is why only $10 million has been frozen so far.