Ledger hardware wallets hit through the FTX earthquake, CTO states

Hardware-based cryptocurrency wallet provider Ledger has experienced some issues because of massive outflows from crypto exchanges among the FTX bloodbath, based on its chief technology officer.

Ledger saw a “massive usage” of the platforms and endured a “few scalability challenges” on November. 9, Ledger CTO Charles Guillemet reported inside a statement on Twitter.

Guillemet reasoned Ledger’s issues through the connection between the continuing crisis of the major global cryptocurrency exchange, FTX. The CTO stated that crypto investors happen to be more and more offloading their holdings from crypto exchanges to Ledger, stating:

“​​​​After the FTX earthquake, there is a massive output from exchanges to Ledger security and self sovereignty solutions.”

Based on Guillemet, Ledger must have resolved the outages by 5:30 am UTC.

Ledger first reported the wallet issues on November. 9 around 11:00 pm UTC, formally announcing that it is hardware wallet interface application Ledger Live was experiencing downgraded server performance.

“Specific issues can vary, including connecting towards the My Ledger tab and conducting a Genuine Check,” Ledger stated inside a tweet, adding the client’s assets were safe.

Hard wallet company subsequently required to Twitter to announce it fixed the server outage within 1 hour after discovering the problem. “Our server outage continues to be resolved and all sorts of systems are operational,” Ledger stated, adding their server outage was resolved and all sorts of systems were operational.

Formerly, Ledger Support also announced it also temporarily stopped FTX and FTX.US swaps on Ledger Live. Ledger launched the swap integration with FTX in This summer 2022.

Based on Ledger’s Twitter thread, the outages caused quite a few users to become not able to transmit any transactions using Ledger Live, including withdrawals.

The crypto community was quick to respond to the problems despite many remaining confident about Ledger’s operations among the bigger market issues. Some industry observers belittled Ledger for selecting the incorrect wording to talk with their clients among the continuing issues at FTX. People apparently got triggered by Ledger’s wording “assets are safe” as FTX founder Mike Bankman-Fried designed a similar statement on Twitter on November. 7, simply to delete it each day after.

“FTX is okay. Assets are fine,” Bankman-Fried declared in the tweet, just hrs prior to the exchange stopped all crypto withdrawals after becoming not able to process such transactions.

It seems to become unclear if the latest issues on Ledger Live were the very first time for that platform to see problems with this type of scale. The firm didn’t immediately react to Cointelegraph’s request comment.

Related: FTX and Binance’s ongoing saga: Everything that’s happened so far

The crisis of FTX is in no way the very first incident that may have triggered crypto users to consider moving their assets to cold storage to higher safeguard their. The idea of hardware or cold wallets continues to be growing more and more popular this season, as major centralized crypto exchanges limit use of funds of quite a few users over various issues.

A significant rival cold wallet provider, Trezor, hasn’t recorded any issues because of the FTX issues to date, Trezor executive Josef Tětek told Cointelegraph. “The only method to avoid these massive blow-ups would be to understand self-child custody like a necessity,” the professional mentioned. “No option a real necessity,” he emphasized.

Despite self child custody being connected using its own group of risks, many crypto people, including Tether and Bitfinex CTO Paolo Ardoino, still recommend users “always to self child custody in cold storage” if they would like to hold their Bitcoin (BTC) and crypto.

Latest stories

You might also like...