Ellipal Account Theft LockCertain4138

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Ellipal Hardware Wallet

Reddit user LockCertain4138 claims that their funds worth $10k US appear to have been taken from their Ellipal wallet. While they claim that the Ellipal device was somehow implicated in the breach, there is no evidence to support this assertion. It is unclear whether the theft was reported to law enforcement or investigated in any way.

This is a global/international case not involving a specific country.

About Ellipal

"Self-custody, full control of what yours Recommended by Forbes Trusted by users in over 140 countries Store over 10,000 coins and tokens"

"Air-gapped cold wallet is always 100% isolated from the internet. It is fully protected from unauthorized access, cyber hacks, malware, and any online threats."

"ELLIPAL was founded by two encryption technology experts, David and Thomas, in 2018. The company focuses on one-stop solutions for cryptocurrency security and blockchain service ecosystem. Headquartered in Hong Kong, ELLIPAL has warehouses in various parts of the world, such as Australia, Germany, the United States, and the United Kingdom to quickly meet the demands of fast growing customers."

"During a blockchain meeting in 2019,David proposed the concept of a cold wallet 2.0 and he named this new concept "air-gapped cold wallet". David applied this solution to ELLIPAL’s product: the ELLIPAL Titan Cold Wallet. The ELLIPAL Titan is the market leader of large screen air gapped cold wallet."

"We create the most secure cryptocurrency cold wallet and share a portable and fast cryptocurrency service system with all of mankind."

"Yes. I’m sick of writing it. Look you all are going to learn when your accounts are stolen. Also i just sent a 100 Vechain of a a 473000 Vechain cold wallet account as a test run to a hot wallet. I only sent 100 the hot wallet i created on my ipad gave me a QR code and the 100 Vechain went to a totall;y different address that I’ve never seen. Not only that , about 3 minutes later the whole wallet besides about 4 dollars australian in Vechain was emptied to that same address without me touching a device. About 10000 dollars stolen. Once again I’ve been screwed by this ELLIPAL"

"I’m looking for people to make a collective demand to ELLIPAL because they leaked our private information to a third party people/scammers to take over our assets. Is not about the money they stole is about transparency this company never let us know that they leaked information fro Our wallets. Just a big collective demand will work again this shitty Hong Kong company."

"Sorry, but this is a b.s. claim and won't hold any grounds.

There is absolutely no way Ellipal, or anyone actually, is able to get the seedphrase or private key from the device. That's the whole point of an air-gapped device like this. The seed/private key stays completely isolated from the internet.

However, IF the seedphrase or private keys do end up somewhere on your phone or computer, it's because the user didn't use it properly the way it has been designed because the only piece of info on your phone or computer is the public key, which is just your wallet address. Nothing can be done with it except viewing the assets associated with it."

This is a global/international case not involving a specific country.

The background of the exchange platform, service, or individuals involved, as it would have been seen or understood at the time of the events.

Include:

• Known history of when and how the service was started.
• What problems does the company or service claim to solve?
• What marketing materials were used by the firm or business?
• Audits performed, and excerpts that may have been included.
• Business registration documents shown (fake or legitimate).
• How were people recruited to participate?
• Public warnings and announcements prior to the event.

Don't Include:

• Any wording which directly states or implies that the business is/was illegitimate, or that a vulnerability existed.
• Anything that wasn't reasonably knowable at the time of the event.

There could be more than one section here. If the same platform is involved with multiple incidents, then it can be linked to a main article page.

The Reality

This sections is included if a case involved deception or information that was unknown at the time. Examples include:

• When the service was actually started (if different than the "official story").
• Who actually ran a service and their own personal history.
• How the service was structured behind the scenes. (For example, there was no "trading bot".)
• Details of what audits reported and how vulnerabilities were missed during auditing.

What Happened

The specific events of the loss and how it came about. What actually happened to cause the loss and some of the events leading up to it.

Key Event Timeline - Ellipal Account Theft LockCertain4138

Date	Event	Description
December 23rd, 2022 8:14:00 AM MST	Reddit Post	Incident is posted on Reddit.

Technical Details

This section includes specific detailed technical analysis of any security breaches which happened. What specific software vulnerabilities contributed to the problem and how were they exploited?

Total Amount Lost

The total amount lost has been estimated at $10,000 USD.

How much was lost and how was it calculated? If there are conflicting reports, which are accurate and where does the discrepancy lie?

Immediate Reactions

How did the various parties involved (firm, platform, management, and/or affected individual(s)) deal with the events? Were services shut down? Were announcements made? Were groups formed?

Ultimate Outcome

What was the end result? Was any investigation done? Were any individuals prosecuted? Was there a lawsuit? Was any tracing done?

Total Amount Recovered

There do not appear to have been any funds recovered in this case.

What funds were recovered? What funds were reimbursed for those affected users?

Ongoing Developments

What parts of this case are still remaining to be concluded?

Individual Prevention Policies

No specific policies for individual prevention have yet been identified in this case.

For the full list of how to protect your funds as an individual, check our Prevention Policies for Individuals guide.

Platform Prevention Policies

Policies for platforms to take to prevent this situation have not yet been selected in this case.

For the full list of how to protect your funds as a financial service, check our Prevention Policies for Platforms guide.

Regulatory Prevention Policies

No specific regulatory policies have yet been identified in this case.

For the full list of regulatory policies that can prevent loss, check our Prevention Policies for Regulators guide.