Is Ledger’s New Bitcoin Key Recovery Feature Safe? Experts Have Doubts

Law enforcement agencies, too, might use the setup to get access to Ledger users’ crypto, Day said: “The three organizations that will hold the shards are known, so they’re liable to get a visit from the feds – so you could argue that by enabling Recover you’re turning your wallet hot even if there are legal steps in between,” he said. (In crypto terms, “hot” wallets are connected to the internet, “cold” are not.)