Ledger faces lawsuit over data breaches
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Answer Ledger faces lawsuit over data breaches
According to legal documents republished on the site “scribedLaw firm Roche Freedman filed a formal complaint against Ledger and Shopify on April 6 on behalf of two lead plaintiffs.
Ledger suffered a number of data-related breaches in 2020, one of which was linked to the e-commerce platform Shopify, which hosts Ledger products.
Ledger has admitted responsibility for the Shopify incident, in which a Ledger employee leaked the personal details of 20,000 users in December 2020.
This is in addition to another hack in the summer of the same year 2020, which resulted in the leaking of information for more than 292,000 Ledger users over the Internet.
From the class action on behalf of plaintiffs John Cho and Edward Patton:
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The plaintiffs are seeking to compensate for the severe damages caused by Ledger and Shopify’s misconduct in connection with the massive 2020 data breach that those companies negligently allowed, recklessly ignored, and then deliberately sought to cover up.
Ledger is in a security maintenance mode and lawyers are looking for holes:
Ledger has stuck to its claim that the devices are still 100% secure, but their customers play a different tune.
Antoine Thibault, General Counsel of Ledger, said:
Ledger does not comment on ongoing legal issues.
While Mr. Kyle Roach, partner of the law firm that filed the lawsuit, stated:
We’ve been investigating this since the day it became public.
This investigation included speaking with experts in the fields of data security and cryptocurrency.
The lawsuit does not specify the amount of compensation required for the class action, according to some estimates, the amount may be as high as $5 million.
The documents mention only two Ledger users who together lost 4.2 BTC, 11 ETH and 150,000 XLM to phishing attacks, and there are likely thousands like them.
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After the massive data breach, Ledger users have taken to social media to vent their anger at the company that offered no compensation at all and largely blamed users for shoddy security on their part.
Ledger clients have reported everything from direct theft of cryptocurrency from devices to threats of physical assault, home invasion and even murder.
Hackers and scammers set out to exploit spam and use phishing, armed with Ledger’s customer database full of personal information that included email addresses, phone numbers, and even users’ home addresses.
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