There are more and more crypto-related dangers ahead according to the latest reports.
Could the US government access your crypto?
Former Coinbase chief technology officer Balaji Srinivasan revealed a terrible warning. He thinks the US government could try to use tech giants like Apple and Google to steal crypto from citizens.
Srinivasan says that world governments could be bankrupt in a decade and desperate to seize Bitcoin (BTC) to fund their operations.
“He says the US government probably won’t have the capability to execute a 51% attack on Bitcoin. A 51% attack is when a miner or mining pool gains more than 50% of the network hash rate in order to rewrite the ledger and double-spend prior transactions,” the online publication the Daily Hodl notes.
Srinivasan says China might be able to pull off a 51% attack, but notes that most mining happens outside Chinese borders now, making that outcome less likely.
The former Coinbase CTO says the real “systemic risks” for crypto are Apple and Google.
“Instead, the federal government may try to compel Apple and Google (and other tech companies) to hunt for private keys on the servers, devices, and browsers they control. And to remit any stolen funds to a cash-hungry federal government.”
More crypto issues to watch out for these days
Ledger has released a firmware update for Nano X cold wallet, which offers a recovery service.
The crypto community is criticizing the service because it allows Ledger to store the seed phrases so that it can offer recovery. It’s been revealed that a lot of users are especially skeptical because Ledger has experienced data breaches in the past.
This update introduces a recovery feature that allows Ledger to back up seed phrases.
– market and sell device that keeps people’s private keys secure
– experience multiple data breaches leaking customer information
– offer service to upload private keys from secure device to a cloud based service
— hodlonaut 13%er 🌮⚡🔑 🐝 (@hodlonaut) May 16, 2023
“Cold wallet manufacturer Ledger is under fire yet again, this time for releasing a firmware upgrade that includes a subscription-based feature called “Recover.” The feature is facing criticism for granting the company access to customers’ seed phrases, which undermines the purpose of a hardware wallet,” BeInCrypto.com notes.
Ledger reveals updates about the issue
The Ledger CEO said:
Ledger CEO, Pascal Gauthier, explains that Ledger Recover would give the state the ability to recover your #Bitcoin private keys in the event of a subpoena. pic.twitter.com/KWaXcgtMqr
— The ₿itcoin Therapist (@TheBTCTherapist) May 22, 2023
Someone commented: “Ledger is now doing a podcast tour to tell the world they plan to hand over your private keys if a government asks them. I repeat, do not use Ledger. Migrate away now. They’re either idiots or feds, either scenario is wildly dangerous for their users.”
This update introduces a recovery feature that allows Ledger to back up seed phrases.
– market and sell device that keeps people’s private keys secure
– experience multiple data breaches leaking customer information
– offer service to upload private keys from secure device to a cloud based service
— hodlonaut 13%er 🌮⚡🔑 🐝 (@hodlonaut) May 16, 2023
Stay tuned for more details about this.