Government authorities may, through the courts, require access to funds in a Ledger wallet connected to the Recover private key recovery service. This was confirmed by the manufacturer’s CEO Pascal Gauthier.
However, speaking on the podcast What Bitcoin Didhe called such a scenario unlikely.
In mid-May, the company added an option to the firmware of the Nano X hardware wallet that allows you to create a backup copy of the seed phrase. It is divided into three encrypted fragments. Subscribers to the Ledger Recover service can restore it to their device.
The feature received mixed reactions from the community. Users noted the risk of third-party access to the wallet. Some decided that the manufacturer originally had a backdoor in the software for obtaining keys.
The new option was commented by Ledger CTO Charles Guilleme. According to him, the product was a deliberate “compromise” meant for inexperienced users and customer acquisition.
On the day of the podcast’s release, the support team pointed out that the software “always allowed key extraction.” The tweet was subsequently deleted, but the community reacted strongly to it.
With an explanation of Ledger’s security policy on Reddit spoke out ex-CEO and shareholder of the company Eric Larchevek. He stressed that he sees the only problem with the new option is the failure of PR support for its launch.
“Ledger is still safe, there is no backdoor, Recover is not a conspiracy, no one will ever force anyone to use the option. The recovery code in the firmware is not malicious and does not open the possibility for arbitrary extraction of the seed phrase, ”he said.
At the same time, Larshevek admitted that the government could take the custodians of its encrypted fragments to court and gain access to the wallet.
Commenting on this development, Pascal called this the “only problem” of the key recovery function. In his opinion, such actions of the authorities are possible only in case of serious reasons like terrorism or drugs.
“It’s not true that an ordinary person is called to court every day,” the head of the Ledger said.
Recall that in March, the wallet maker announced an expansion of its Series C funding round amid rising sales after the collapse of FTX. Presumably, the Ledger valuation will be €1.3 billion.
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Government authorities may, through the courts, require access to funds in a Ledger wallet connected to the Recover private key recovery service. This was confirmed by the manufacturer’s CEO Pascal Gauthier.
However, speaking on the podcast What Bitcoin Didhe called such a scenario unlikely.
In mid-May, the company added an option to the firmware of the Nano X hardware wallet that allows you to create a backup copy of the seed phrase. It is divided into three encrypted fragments. Subscribers to the Ledger Recover service can restore it to their device.
The feature received mixed reactions from the community. Users noted the risk of third-party access to the wallet. Some decided that the manufacturer originally had a backdoor in the software for obtaining keys.
The new option was commented by Ledger CTO Charles Guilleme. According to him, the product was a deliberate “compromise” meant for inexperienced users and customer acquisition.
On the day of the podcast’s release, the support team pointed out that the software “always allowed key extraction.” The tweet was subsequently deleted, but the community reacted strongly to it.
With an explanation of Ledger’s security policy on Reddit spoke out ex-CEO and shareholder of the company Eric Larchevek. He stressed that he sees the only problem with the new option is the failure of PR support for its launch.
“Ledger is still safe, there is no backdoor, Recover is not a conspiracy, no one will ever force anyone to use the option. The recovery code in the firmware is not malicious and does not open the possibility for arbitrary extraction of the seed phrase, ”he said.
At the same time, Larshevek admitted that the government could take the custodians of its encrypted fragments to court and gain access to the wallet.
Commenting on this development, Pascal called this the “only problem” of the key recovery function. In his opinion, such actions of the authorities are possible only in case of serious reasons like terrorism or drugs.
“It’s not true that an ordinary person is called to court every day,” the head of the Ledger said.
Recall that in March, the wallet maker announced an expansion of its Series C funding round amid rising sales after the collapse of FTX. Presumably, the Ledger valuation will be €1.3 billion.
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Cryplogger Newsletters: Keep your finger on the pulse of the bitcoin industry!