thecoinrepublic.com
- 1 The Trezor community added thousands of new users after the recent Ledger controversy.
- 2 More than 900% of growth is witnessed in the sale volume of Trezor wallets by its community.
Trezor is one of the leading hardware wallet providers, besides Ledger, in the entire crypto market. In a May 25 media statement, the Trezor community revealed that it has mirrored 900% growth in its sales volume every week.
The massive sales growth is seen after the controversy of Ledger wallets. The Trezor community believes that the rise in the adoption results from a solid commitment to safeguarding customers’ privacy and security has enhanced the company’s reputation in the industry.
The growth is the increasing craze of hardware wallets among crypto users to protect their credentials.
In a media statement, Matěj Žák, the Chief Executive Officer of Trezor wallets, said: “In Trezor, we believe that hardware wallets – cold storages that promise 100% self-custody should, at no stage, make the seed phrase accessible to anyone but the user.”
Why Is Ledger Criticized in the Industry?
Ledger is highly criticized in the crypto industry because of its upcoming feature, Ledger Recover. Per the available data, the new service will help safeguard the seed phrase in case a user misplaces it; this subscription service will authorize users extra protection. The function will also provide an additional layer of protection for private keys.
The main concern arises here. Once these entities are combined and decrypted, they can be used to recover the seed phrase. The problem is that the encrypted code is sent to three different entities, and the reconstruction of the keys can be initiated.
Alistair Milne, a Bitcoin investor and entrepreneur, believes that users could use Ledger’s recovery service and provide them with their ID and other personal information. But why bother with the hardware wallet in the first place?
When a crypto user creates a wallet, they are given a unique set of words anointed as a seed phrase. It is a private wallet recovery key, and users are instructed to write and hide it somewhere safer. The seed phrase is used for security purposes, and if users misplace the key, they might access it to recover the funds.
The founder of the Cardano blockchain, Charles Hoskinson, expressed his view on the Ledger controversy. He wrote a tweet clarifying the hardware wallets. He said people buy hardware wallets to enhance the personal security of their funds.
With respect to the Ledger controversy, I say the following:
— Charles Hoskinson (@IOHK_Charles) May 19, 2023
1) always choose open source software whenever possible that has been audited by numerous sources on a regular basis
2) security comes from simplicity- Design the smallest possible footprint
3) non-updateable…
After massive popularity, crypto is becoming controversial because of the scams and frauds in the last few years and months. Since the last few years, numerous debates have occurred in the industry, alleging that crypto should be banned and should not replace the traditional finance system.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.