UPDATE: OneKey terminates reseller CryptoBilis as breach losses reach $93M
CIE News ·
OneKey cut ties with distributor CryptoBilis on October 12, 2026, as suspected losses from tampered hardware devices grew to $93.2 million across Bitcoin, Ethereum, and TRON.
On October 12, 2026, OneKey CEO Yishi Wang announced the termination of reseller CryptoBilis following a physical supply-chain breach affecting hardware devices in Indonesia, Malaysia, and the Philippines. As previously reported, Ledger had confirmed an unauthorized hardware implant with potential losses over $86 million. Bitquery-tracked losses have now reached an estimated $93.2 million across 311 to 315 wallets spanning the Bitcoin, Ethereum, and TRON networks, while Cryptonews reported potential losses reaching $93 million across 311 wallets.
According to Cryptonews, former Mt. Gox CEO Mark Karpelès investigated a tampered device and discovered a hidden module behind the screen containing a microcontroller, LTE hardware, an antenna, and an eSIM. Karpelès indicated this module was designed to intercept recovery phrases and send them over cellular connections. Ledger confirmed that at least one unit obtained through CryptoBilis contained an unauthorized implant, but maintained that its own core infrastructure and backend systems remain secure.
Following the discovery, OneKey is auditing its reseller network and offering free hardware replacements to customers who bought devices from CryptoBilis between March 1, 2026, and October 12, 2026. Cryptonews also reported that Ledger has asked CryptoBilis to halt sales across all hardware wallet inventory while the joint investigation with law enforcement continues.