If you own a Ledger hardware wallet — May it be a Nano S, S Plus, Nano X, or Stax, you definitely want to make sure that you’ll always have access to your crypto under any circ*mstance whatsoever.
What if Ledger Labs goes out of business?
The Ledger Labs company
Ledger Labs — the company that designs, manufacturers, and sells the famous Ledger Nano S, Nano S Plus, Nano X, and the brand new Ledger Stax, is a pretty stable company due to Ledger hardware wallets having a sizeable monopoly in the bitcoin/cryptocurrency hardware wallet business.
While it’s definitely not impossible, it’s very unlikely for Ledger Labs to bankrupt or go out of business as long as the cryptocurrency industry stays afloat.
Other compatible apps
Though Ledger has its own wallet software (Ledger Live), fortunately, if ever Ledger Labs goes bankrupt and go out of business, you can still use your Ledger hardware wallet by connecting it to other software wallets such as Electrum and Wasabi Wallet.
Your wallet backup
Alternatively, you can simply import your Ledger’s 12-24 word recovery phrase to other hardware wallets such as Trezor hardware wallets if it’s the case that you decide to switch hardware wallet brands.
On the other hand, if you need access to your funds ASAP, you can import the 12-24 word recovery phrase to a reputable mobile wallet of your choosing. Just make sure to create a new backup using a new hardware wallet once you get a hold of a new one.
Where should I buy a Ledger wallet?
Though you can purchase Ledger hardware wallets through other 3rd party websites, we heavily recommend purchasing a Ledger hardware wallet through Ledger’s official website instead, for security purposes.
Having a backup device
If you frequently use your hardware wallet, grab an extra Ledger hardware wallet from the Ledger official website. Just so you always have a backup hardware wallet ready, that you can use immediately if it’s the case that your current hardware wallet becomes inaccessible.
Ledger has hardware wallet bundles on their website that they sell at a discount, perfect for having backup devices.
Quick note: you can have the same wallet backup imported to multiple hardware wallets.
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FAQs
If TREZOR, Ledger, Coldcard or any other wallet or hardware wallet company go out of business, you can use any other wallet to recover your wallet. The 12 or 24 words you wrote down at the beginning when you got your wallet can re-create your wallet without the need for the hardware wallet company you bought from.
What happens to my crypto if my Ledger breaks? ›
If you can't access your Ledger device and you still have your 24-word recovery phrase (which hasn't been lost, stolen, or given out), you can rest assured that your crypto assets remain safe.
What happens if Ledger crashes? ›
Ledger Live can crash, but rest assured your cryptocurrency held in your Ledger device itself remains secure. The Ledger device acts as cold storage, keeping your funds isolated from the computer you use Ledger Live with.
What if Ledger Live goes bankrupt? ›
The ledger only holds the private keys that give you access to the funds in the blockchain. If you lose your wallet, or if Ledger goes out of business, you can regenerate your keys from the 24 words you were given when you first generated the key and use any other software or hardware wallet.
Is my money safe on Ledger? ›
Your Ledger is protecting an encrypted copy of your seed phrase inside of it with military-grade cryptographic hardware, and remember that it's your job to make sure your recovery phrase stays offline and is never entered into a computer, into a phone, or shared with anyone or any application asking for it.
What if my Ledger is destroyed? ›
If you are confident that your PIN is strong enough to withstand brute force attacks, you can simply restore your 24-word recovery phrase into your new/backup Ledger device to regain access to your accounts immediately.
Can you recover crypto if you lose your Ledger? ›
As long as you have your recovery phrase, you will always be able to regain access to your crypto assets. You can restore any Ledger device from your recovery phrase to recover the wallet configuration and access your funds.
Should I keep my crypto on Ledger? ›
Using a hardware wallet – sometimes called “cold storage” – is widely accepted as the most secure method for storing cryptocurrency. It's backed by security experts and keeps your private keys offline – so your crypto is inaccessible to anyone but the holder of specific access codes.
Is Ledger a safe way to store crypto? ›
Very. Hardware wallets like Ledger and Trezor are considered one of the most secure methods for storing bitcoins and other cryptocurrencies. These devices offer a high level of security and protection against various threats that are common in the cryptocurrency space.
Has a Ledger ever been hacked? ›
What exactly was compromised in the Ledger hack? The hack involved a phishing attack to access a former employee's NPMJS account, leading to the uploading of a malicious version of the Ledger Connect Kit library.
In the event of bankruptcy, crypto customers with custodially held assets are typically last in line to receive payment. In other words, those who have their cryptocurrencies locked away in non-custodial or self-custodial wallets won't be affected since they own the private keys.
How do I make sure my Ledger is safe? ›
Check for factory settings
Ledger never provides a PIN code in any way, shape, or form. Always choose the PIN code yourself. If a PIN code is included in the packaging or instructions to get one elsewhere, or if the device requires a PIN code the first time you use it: the device is not safe to use.
How safe is Ledger Live? ›
The Ledger Live app is the official companion software of Ledger wallets that enables users to set up their Ledger cold wallets and manage crypto assets. Ledger's technology is based on the use of secure chips and proprietary operating systems, which provide a high level of protection against hacking and tampering.
Can I cash out from Ledger? ›
You can transfer your crypto to a supported exchange platform that offers fiat withdrawal options, such as Coinbase, Binance, Kraken, and others. These exchanges allow users to sell their crypto assets and withdraw the proceeds to their linked bank accounts.
Does Ledger Live report to IRS? ›
Does Ledger report to the Internal Revenue Service (IRS)? Ledger does collect Know Your Customer (KYC) information from customers who trade cryptocurrency through Ledger Live. However, Ledger does not collect information from customers who simply use the company's hardware wallet.
What will happen to the Ledger account posting? ›
Ledger posting is entering information in the ledger, in respective accounts from the journal for individual records. The account debited is posted on the debit side and the account credited is posted on the credit side of the same account.
