Ledger Faces Backlash Over New Multisig Transaction Fees

Ledger has encountered significant backlash following the introduction of transaction fees for its newly updated Multisig application. This change coincided with the launch of the rebranded Ledger Wallet app and the new Nano Gen5 device, which is priced at $179. Critics argue that the fees could undermine the principles of self-custody within the cryptocurrency community, while Ledger frames the adjustments as necessary for enhancing infrastructure and security features.

New Fees Spark Community Outrage

The updated Multisig app now imposes a flat fee of $10 per transaction, along with a 0.05% variable fee for token transfers, in addition to standard network gas costs. This pricing structure has prompted immediate criticism across various cryptocurrency social media platforms and industry publications. Developers have expressed concerns that the new fees centralize control over self-custody processes.

Ethereum developer pcaversaccio stated that Ledger’s approach risks transforming its wallet interface into a “single choke point,” even while acknowledging the technical advancements in the app. Ledger’s Chief Technology Officer, Charles Guillemet, later clarified that an earlier assertion describing the Multisig app as “free” was a typographical error. Furthermore, industry analysts have highlighted that a closed coordination layer could diminish transparency expectations surrounding self-custody tools, despite the underlying Safe protocol being open-source.

Product Refresh: Ledger Wallet and Nano Gen5

In conjunction with these updates, Ledger has renamed its companion app from Ledger Live to Ledger Wallet. The newly launched Nano Gen5 features an E Ink touchscreen, Bluetooth 5.2 capabilities, and Near Field Communication (NFC) for enhanced security and recovery processes. This shift indicates a strategic move from merely being a “hardware wallet” to a broader identity and authorization tool, reflecting Ledger’s ambition to expand its utility beyond traditional cryptocurrency transactions.

According to the company, Ledger has sold over 8 million devices and claims its products secure more than 20% of the global cryptocurrency assets. They assert that no Ledger device has ever been successfully hacked in the real world. Nevertheless, security experts caution that hardware safeguards do not eliminate risks associated with social engineering tactics, such as phishing scams. Kaspersky has warned users that exposing their seed phrases or signing malicious transactions can lead to compromised funds.

The competitive landscape for hardware wallets has intensified, with Trezor announcing its new Safe 7 model. This device features a transparent, auditable secure element and a “quantum-secure” architecture update, highlighting the industry’s ongoing effort to balance transparency, usability, and resilience.

Additionally, critics note that Ledger’s updated Multisig application does not support older Nano S models, which lack the necessary memory for advanced signing features. This limitation has led some users to consider upgrading to newer devices or exploring alternative coordination options. For those who prefer open-source solutions, options such as Specter Desktop and Sparrow Wallet offer multisig coordination while supporting Ledger devices.

As Ledger continues to navigate the feedback from its community, the implications of these changes on the broader cryptocurrency ecosystem remain to be seen.