Crypto-hardware wallet manufacturer Ledger and its ecommerce partner Shopify are being sued over the massive data breach that came to light last year. John Chu and Edward Baton want to use a lawsuit to force Ledger and Shopify to compensate for the damage suffered.
The charge was filed in the US state of California. The indictment states that the companies "negligently allowed the data breach and then recklessly ignored it." They are also accused of subsequently concealing the data breach.
The data was leaked by Shopify employees who sold hundreds of thousands of phone numbers, email addresses, and physical addresses on the black market. Chu, Baton and many thousands of other Ledger customers were approached after the leak by criminals who tried to steal crypto through phishing and threats. The prosecutors lost a lot of crypto themselves as a result.
Chu is said to have lost $ 267,000 in bitcoin (BTC) and ethereum (ETH) while Baton lost $ 75,000 in stellar (XLM). They now want that money back because Ledger acted negligently. The indictment states:
“Ledger’s and Shopify’s misconduct has made a target of Ledger customers, with their identities known or available to any hacker in the world. Ledger’s persistently flawed response exacerbated the damage. By not notifying each affected customer individually or admitting the full extent of the break. ”
If you receive an email from Ledger or, for example, a crypto exchange, always check the sender. If you are asked to enter personal information or a password, always use extra caution.