Ledger Users Lost 1.1 Million XRP to Scammer

Hardware crypto wallet, Ledger users are becoming the victims of constant cyberattacks, and one such scam stole more than 1,150,000 XRP.

The fraudsters used the widely used phishing tactic to siphon the funds from Ledger users. The phishing email sent to many cryptocurrency users was directing them to a fake ledger website. The fake domain was very hard to point out as it cleverly substituted the site with a homoglyph in the domain name.

The proceeds collected from the fraudulent activities were sent to crypto exchange, Bittrex, the community ran xrplorer highlights. However, the exchange could not recover the ill-gotten funds.

I got a txt message last night with my full name saying ledger security alert….to download the security update. Deleted it instantly

— Kris Leslie 🏴󠁧󠁢󠁳󠁣󠁴󠁿 (@Krissy1097) November 2, 2020

Ledger Users are Among Favourite Targets of Scammers

Though hardware wallets offer much greater security for crypto storage, compared to other means, Ledger users have always faced cyber-attacks, which is mostly from phishing.

One such phishing email sent to the users that gave the impression it was from the Ledger customer support and noted: “Our forensics team has found several of the Ledger Live administrative servers to be infected with malware.”

Unfortunately, the phishing attacks were not limited to fake emails. Finance Magnates earlier reported on a fake Ledger Chrome extension that could have siphoned around $2.5 million worth of digital currencies.

Ledger is also aware of all the fraudulent activities that are targeting its users, but it is not clear how it can prevent them other than creating awareness.

“The investigation is ongoing and at this time we cannot give any additional information but one thing is for certain: Ledger will never ask you for your 24-word recovery phrase, which is a blatant sign of a phishing scam,” a company spokesperson said recently. 

“Ledger encourages customers to exercise caution as phishing attacks become more sophisticated and to alert Ledger’s customer support team and consult Ledger.com for more information on the detection of scams.”