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Thanks for the reply. I do get it - once someone has physical access to your HW, consider it exploited. The fact that I have to go online to upgrade my Ledger makes, however, the idea of using it on an airgapped PC nonsense. I either use it fully offline or I don't. I'm not very afraid of it being possibly stolen. If someone gets to
physically get my Ledger in their hands, there is much more stuff I have to worry about.
I am sure that the reason for that is in fact that those who buy hardware wallets still trust these devices, at least as far as any remote manipulation is concerned. As PrimeNumber7 say, all attack vectors so far have included the need for physical access to device, and hardware wallets are even promoted as safe when used on infected devices. Any wallet used as cold storage on airgapped device is safe, so it doesn't really make much sense to do what you do now, but we never know what might happen in the future and in what ways can anyone endanger the safety of such devices.
I have no doubt that hackers are working to break through the protection of hardware wallets, and to get their hands on what is on them. I think the time will come when only cold storage will mean complete security.
I'm not necessarily afraid of a physical or online attack. Here's part of my concern, more in-detail:
- As far as I know, Ledger is not fully open-source. Ledger Live isn't either, if my knowledge is right. If so, then how do I know that, while I am using my HW to verify my wallet balances or transfer funds, Ledger does not send any information to any third party such as intelligence agencies?
I have read countless posts and Reddit threads about this concern and the only thing I have to do, apparently, is
trust. Well, we know how this 'trust' thingy went throughout all our history.
In consequence, I thought of doing this: setting up a completely airgapped PC and using my Ledger ONLY with it, so that the only information that ever leaves my PC or Ledger is fully controlled by me. In other words, why trust Ledger Live to check onto your wallet balances and addresses online when you can take complete control of it all and broadcast
only the txs and addresses you want to be published somewhere online?
Privacy is one thing I have never studied or focused on, yet it's one of the sides we've apparently had invaded the most in the past few years. If we take a look at how much of our data is collected, stolen and sold all over the place, we'd probably get to the final conclusion that privacy isn't really there anymore.
I am willing to go fully paranoid. It's something I'm willing to do as part of a little "initiative" of mine to stop this personal info from leaking everywhere around me. Look at Microsoft with their Alexa & Windows, look at Zuckerberg with his Facebook, look at Google with all their services. Look at what they've done.
My big fear is that Ledger is not very different from them. I fear the day I might wake up and read this story about the most trusted Hardware Wallet company of cryptocurrencies allegedly collecting & transferring data to intel or who knows whoever else.
On the other hand, I do not want to quit using hardware wallets. I feel safer with them than with any other wallet, hence the creation of this topic.