Trezor Cuts Reseller Network as MediaMarktSaturn Pulls Ledger Over Wallet Tampering

Hardware wallet manufacturer Trezor is drastically reducing its authorized reseller network following reports that a Southeast Asian distributor tampered with rival Ledger devices to steal users' recovery phrases. Trezor confirmed Tuesday that affected resellers will lose their authorized status by January 1, with shipments ceasing immediately. Chief Commercial Officer Danny Sanders stressed the move was precautionary, noting that Trezor's existing checks can detect counterfeit devices and modified firmware. However, the implicated Ledger implant operated differently, reading information displayed on the device's screen rather than altering its hardware or software. Blockchain investigators estimate potential losses ranging from $72 million to $86 million, a figure Ledger has not independently confirmed.

European electronics giant MediaMarktSaturn has removed all Ledger products from its physical stores and online platforms across every market it operates in. A spokesperson for the company told Cointelegraph the removal was a precautionary measure, coordinated with Ledger following a report from a customer in Germany who discovered a hardware implant in a purchased device. Ledger confirmed that at least one device sold through reseller CryptoBilis contained an unauthorized implant capable of capturing recovery phrases and transmitting them over cellular networks. The company emphasized that no fund losses have been reported and that there is no indication its infrastructure or services were compromised.

In a separate development, the Aptos blockchain launched an encrypted transaction feature designed to shield traders from frontrunning and sandwich attacks on decentralized exchanges. The upgrade aims to prevent malicious actors from exploiting mempool visibility to extract value from pending transactions, a persistent problem that has cost DeFi users billions across multiple chains.

Trezor has urged customers to purchase hardware wallets directly from the manufacturer and consider adopting multisignature setups using devices from different providers to mitigate supply chain risks. The incidents have intensified scrutiny over hardware wallet distribution channels, particularly third-party resellers operating outside direct-to-consumer sales models. Industry observers note that the episode underscores the fragility of physical supply chains in an industry built on the promise of self-custody and trustless security.