Ledger’s CTO on the Security Challenges of Cryptocurrency

CryptoSlate caught up with Ledger’s CTO Charles Guillemet at BTC Prague on a range of topics, from what really happened during the Ledget ConnectKit exploit to the intricate challenges of securing such a high percentage of the world’s digital assets. Guillemet’s background, deeply rooted in cryptography and hardware security, provides a strong foundation for his role at Ledger. He began his career designing secure integrated circuits, which later translated into his approach to creating secure elements for Ledger devices.

Security Challenges in Blockchain and Bitcoin

During the interview, Charles Guillemet delved into the distinct security challenges posed by blockchain and Bitcoin technology. His insights were shaped by his extensive background in secure integrated circuits and cryptography.

Guillemet explained that, in traditional banking cards and passports, the security keys are managed by the bank or the state. However, in blockchain technology, individuals manage their own keys. This fundamental shift introduces significant security challenges, as users must ensure that their value is protected from unauthorized access and loss. He highlighted:

“In ledger devices, you are managing your keys while in your banking cards and your passport, this is your bank’s or state’s secret. This is the big difference.”

Since users own their value, it becomes imperative to secure it, ensuring it is neither lost nor accessed by unauthorized parties. This requires robust measures to prevent software malware from gaining access and to protect against physical attacks.

“Having a dedicated device is the best way to do that. And also you must prevent an attacker with physical access from getting access to your secrets.”

The CTO also pointed out that blockchain’s immutability makes the security challenge even more significant. Ledger technology secures over 20 percent of the market cap, equating to approximately $500 billion. This immense responsibility is managed by leveraging the best available technology to ensure security. Guillemet confidently stated that, so far, their approach has been successful, allowing him to sleep well at night despite the high stakes involved.

Ledger’s Response to Security Breaches and Supply Chain Security

Charles Guillemet addressed Ledger’s approach to handling security breaches, particularly the incident involving the Ledger ConnectKit. He described the challenge posed by supply chain attacks on software, emphasizing the…