Ledger CEO Pascal Gauthier said that the company will not compensate for losses to customers whose personal data, including home addresses, got into the network.
This week, a database with information about more than 270,000 users of Ledger hardware wallets, including their names and physical addresses, appeared on the raidforums forum. After that, the company said that it does not plan to compensate users for the damage caused. Gauthier said:
“When a small company has a data leak of this magnitude, it is impossible to compensate for losses and replace millions of devices. It would just kill the company. We prefer to look to the future. Right now, Ledger is investing a lot of time and money in building the next level of security and other products that will provide better protection for our users.”
After the database was published, users began to receive emails from scammers, which said that they know the name and address of the victim. The attackers threatened to come to the user’s home to steal cryptocurrencies if the ransom was not paid.
“This is just an online scam to scare you. In fact, it is very expensive to come to someone’s house. Despite the fact that this is possible, the probability of such an event is not the highest. The database has been online since July, and no one has ever reported attacks of this kind,” Gauthier said.
He claims that scammers will try to spend as little money as possible, and such phishing emails allow them to easily attack a large number of customers online, without having to meet them in person. According to the company’s CEO, users should not store private keys in their homes, especially when it comes to large amounts of cryptocurrency.
“Would you keep a million dollars in cash at home? If you have such wealth, don’t keep it in the house,” he said. “Ledger recommends that users keep their private keys in a secure place where no one else has access.”