Ledger, a leading manufacturer and developer of cryptocurrency hardware wallets, achieved a major milestone in 2017 by selling over 1 million hardware wallets, generating $29 million in revenue.
The Rising Demand for Secure Crypto Storage
In an interview with Forbes, Ledger President Pascal Gauthier highlighted the growing need for secure platforms to sign immutable public blockchain transactions. He explained:
"Blockchains themselves are secure, but the protocol for signing transactions has vulnerabilities. If you lose your private key, there's no bank to safeguard your assets—no way to recover those funds."
This fundamental security gap has driven increased adoption of hardware wallets like Ledger's products.
Major Funding Rounds and Strategic Growth
Early Investments and Expansion Plans
- 2017 Performance: $29M revenue from 1M+ hardware wallet sales
- 2018 Series B: Raised $75M led by Tim Draper/Draper Venture Network (vs. $7M Series A)
- 2019 Target: Another multi-million-dollar funding round with interest from corporate VCs (Samsung, Siemens, Google)
Funds are being allocated to:
- Infrastructure upgrades
- New products for retail traders
- Institutional-focused solutions
Gauthier noted "lines forming outside Ledger's Paris office" for their institutional Ledger Vault product, emphasizing strong market demand.
Why Hardware Wallets Matter More Than Ever
Lessons from Exchange Hacks
Four major exchange breaches in 2018 (Coincheck, Bithumb, etc.)—totaling $500M+ losses—exposed the risks of hot wallet storage. The Coincheck hack alone involved theft from a single NEM hot wallet.
Shifting Investor Mindset
Growing demand for Ledger Nano S and Ledger Vault reflects:
- Heightened security awareness
- Preference for non-custodial solutions
- Institutional adoption of self-sovereign storage
👉 Explore Ledger's most secure wallets
FAQs
Q: How does a hardware wallet improve security?
A: By storing private keys offline in a tamper-proof device, eliminating exposure to online threats.
Q: What makes Ledger Vault different for institutions?
A: Offers multi-authorization workflows and compliance tools tailored for large-scale asset management.
Q: Can I recover funds if I lose my Ledger device?
A: Yes—using a 24-word recovery phrase created during setup.
Q: Why are corporations investing in Ledger?
A: They recognize hardware wallets as critical infrastructure for institutional crypto adoption.
The Future of Crypto Storage
Ledger aims to build an ecosystem where institutions can hold Bitcoin, Ethereum, and other tokens without relying on third-party custodians—aligning with crypto's trustless ethos. As Gauthier stated:
"All financial institutions need solutions like Ledger Nano S at scale."