Cryptocurrency industry figure Charles Hoskinson has expressed his disappointment over Ledger's recent controversial update. Hoskinson, known for his role in founding Cardano (ADA) and his contributions to the blockchain industry, took to social media to convey his feelings about the hardware wallet provider's decision.
In a tweet, Hoskinson shared a popular GIF featuring actor Christian Bale and Kermit the Frog staring at each other with empty looks. The choice of this particular GIF suggests Hoskinson's dissatisfaction with Ledger's update and its potential implications for user security and privacy.
Ledger recently released an update that introduces an opt-in "recovery services" feature, which some users fear could expose their seed phrases, the vital passphrases used to access cryptocurrency wallets, to the internet. This development has raised concerns among the crypto community, as it potentially compromises the security of users' funds.
https://t.co/5bzjD8pNx5 pic.twitter.com/IIXCTGm3Yt
— Charles Hoskinson (@IOHK_Charles) May 16, 2023
Hoskinson's reaction echoes the sentiment of many in the industry who value the importance of privacy and security in the realm of cryptocurrencies. The update has prompted significant backlash from users, leading to a growing number of individuals considering alternative hardware wallet options.
Ledger's response to the controversy attempted to clarify that the device only sends encrypted shards of seed phrases to third-party companies if users choose to utilize the recovery service. However, this explanation has done little to assuage the concerns of those who believe that the device should not possess the capability to leak any data to the internet.
It is worth noting that Ledger previously faced criticism following a major data breach in 2020, which exposed sensitive customer information. The incident resulted in an increase in phishing attempts targeting Ledger users, further eroding trust in the company.
Denys Serhiichuk
Godfrey Benjamin
Tomiwabold Olajide