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Is there another FTX-like crash happening in the form of Ledger?

Ledger

TL;DR Breakdown

  • There are approximately 400 1-star reviews for the Ledger app
  • Three million dollars have been withheld for more than a month without cause since November 11th by Ledger
  • People are unsure of the Changelly team’s financial stability.

The crypto world has not come out of the FTX’s crash, and another crash might be on the line as there are several speculations about the Ledger and other CEX withholding funds without any proper reason. One such case is put forward by one of the top crypto analysts @_0xSea_. He came up with a story regarding his friend’s 3 million dollar transaction.

Is Ledger’s hardware wallet trustworthy? Many users withdrew the coins and stored them in their cold wallets because they believed CEX was no longer secure in the wake of incidents like FTX. But are cold wallets always secure? The payments received through the ledger support service provider Swap were reportedly lost without a trace in the past. However, this is not a unique incident; another customer also encountered a comparable issue, which cost as much as $3 million and has not yet been rectified.

The story of Ledger App and $3M withholding?

The user plans to replace USDT with USDC in Ledger because of issues with FTX and market anxiety around FUD and USDT in the FUD market. Ledger Live suggested the Changelly platform because it promised real-time arrival without registration.

Wyre exchange had issues a few weeks ago; this time, it is Changelly, a straightforward USDT / USDC exchange. Changelly is not famous among crypto users, but four exchange service providers are listed on the official Ledger website. One is the Changelly team, which Ledger Live by default also suggests.

Is there another FTX-like crash happening in the form of Ledger? 1

Something unanticipated happened. The aforementioned user uses Changelly to convert USDT worth USDC of USD 2,932,345 for their conversion. The site showed “transaction broadcast successful” after the user had finished his operation, but the funds had not yet arrived. As a result, the user contacted customer care. He was requested to complete KYC, but this wasn’t suggested until after he spoke with customer service.

He was asked by customer service to provide a source of funds, bank statement, address attribution, and business contracts. The user followed all the steps, but customer care answered, “received and under review.” After a few days, he was once more questioned about a number of transactions involving the concerned address. He nevertheless provided a thorough response but in vain.

You can even send USDT back to the sender’s address if the other party declines. The user continued to email the Changelly team during the following week and offered to set up a meeting with the management team so they could discuss all the issues at once. The other party did not respond, and emails sent to them went unanswered.

Concerns about Ledger’s financial stability

 Three million dollars have been withheld for more than a month without cause since November 11th. Why did Changelly purposefully postpone this significant amount? People are unsure of the Changelly team’s financial stability.

There are approximately 400 1-star reviews on the Trust Pilot customer review page found on the official Changelly website. Other customers have said that Changelly has also withheld or delayed the transfer of their funds due to KYC and other issues. Numerous users are also raising concerns about Changelly’s KYC SCAM conduct on Reddit.

Is there another FTX-like crash happening in the form of Ledger? 2

Final thoughts

FTX and LUNA crash has brought so many investors and users to their knees, and maybe investors would be unable to withstand another crash in the form of Ledger as it stands out as one of the biggest crypto exchanges with more than 4 million users worldwide. Hopefully, the issue will be sorted out.

Ledger’s response to the @_0xSea thread about the 3 million dollars withholding is

Is there another FTX-like crash happening in the form of Ledger? 3

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Haseeb Shaheen

Haseeb Shaheen

As a Web Researcher and Internet Marketer, Haseeb Shaheen delivers relevant valuable content for audiences. He focuses on financial and crypto market analysis, as well as technology-related areas that help people change their lives.

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