The confirmation regarding the extraction of private keys due to corrupt firmware came to light during a recent discussion on Trezor’s official forum. This revelation has raised additional concerns about the security of assets stored in popular hardware wallets, particularly following the recent discussion surrounding the Ledger Recover feature suggestion.
Trezor Developer Affirms Possibility of Extracting Private Keys in Case of Corrupt Firmware
The developer underscored that while open-source software enables worldwide community examination and the utilization of hashes and signatures to authenticate legitimacy, these precautions do not eradicate the potential for detrimental code to be incorporated into an official software release.
The firmware running on your Trezor must have access to private keys – otherwise, it could not sign your transactions. That means if the firmware turned malicious, it could exfiltrate the private keys. The only way to prevent that would be to freeze the device so that it could never be updated – and pray that there aren’t any problems in the frozen version already.
The official Trezor representative
The official Trezor representative expressed apprehension over the fact that by the time the community detects such malicious activities, they might have already inflicted substantial harm on users. Furthermore, there are uncertainties surrounding potential future governmental actions and policies toward cryptocurrencies, which could have implications for companies operating in this field.
Ledger Criticized for Proposing the “Recover” Functionality
Ledger faced strong backlash in May 2023 when they unveiled the “Ledger Recover” feature, allowing users to extract and store their private keys on an external server, managed jointly by Ledger and a third-party custodian.
Despite Ledger’s claims of ensuring the security of private keys, skeptics argued that if the third-party server were to be compromised, it could potentially expose billions worth of assets, putting client assets at significant risk.
About Trezor
Trezor is a digital wallet that allows users to store, send, and receive Bitcoin and other cryptocurrencies. The wallet is designed to be secure and user-friendly, and it offers a range of features that distinguish it from other wallets in the market. The TREZOR Wallet is a secure hardware device that enables you to make secure Bitcoin transactions. With TREZOR, you are safe even if you are transacting on a compromised or unprotected computer. The ease of use of makes it accessible to individuals who may not be familiar with security matters.
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