User Loses 80 Bitcoin After Storing Coins on New Ledger Device

A user lost all 80 Bitcoin (BTC), worth about $5.2 million, after placing the holdings on a Ledger device bought from CryptoBillis roughly one week earlier.

The user purchased the Bitcoin four months ago at an average price of about $65,000 per coin. The holdings had at one point generated an unrealized gain of approximately $1.38 million.

The 80 BTC was deposited into the Ledger wallet on Sept. 29 and transferred on Oct. 9 to an address previously flagged by analysts as linked to stolen funds. The transfer emptied the user’s holdings.

The incident raises a potential security concern involving a recently purchased hardware wallet and the supply chain through which it was obtained. The materials do not establish how the attacker gained access to the wallet or whether the device itself was compromised.