Former Mt. Gox CEO Mark Karpelès: Details of the Ledger attack revealed, hardware wallet supply chain attack led to $100 million stolen

According to Bitcoin News monitoring, Bitcoin News released a podcast where former Mt. Gox CEO Mark Karpelès discussed the largest supply chain attack in the history of the cryptocurrency industry with Foundation CEO Zach Herbert. Mark Karpelès stated that he discovered a spy implant three weeks before the funds were stolen and contacted Ledger, but received no response. The implant was equipped with a hidden cellular modem that could directly read the mnemonic phrases displayed on the screen and bypass Ledger's own checks; even setting a password phrase could not prevent the mnemonic phrases from being stolen.

Mark Karpelès mentioned that if he had 5 million dollars, he could create an implant that would only be detectable through X-rays. The program also discussed the hardware wallet distributor model, the Malaysian distributor behind the attack, on-chain tracking of stolen crypto assets, the attack spreading to Europe, reasons why Trezor was not targeted, hardware wallet security, and multi-party computation solutions. The program's timeline shows that the amount stolen from hardware wallets reached 100 million dollars, with 86 million dollars transferred out within 24 hours.