Ledger’s Multisig Update Faces Backlash Over New Transaction Fees

Ledger has recently faced significant criticism following the introduction of transaction fees for its new Multisig application. This change comes alongside a product refresh that includes the launch of the Nano Gen5 device and a rebranding of its companion app to Ledger Wallet. Users and developers have expressed concerns that these fees could undermine the principles of self-custody, while Ledger has justified the move as essential for enhancing infrastructure and security features.

New Fees Spark Community Outrage

The updated Multisig app now imposes a flat fee of $10 per transaction and a variable fee of 0.05% for token transfers, in addition to standard network gas costs. This shift prompted swift backlash across various crypto social media channels and industry publications. Developers have raised alarms about the potential centralization of control within the Multisig framework. Ethereum developer pcaversaccio criticized Ledger for creating a “single choke point” in its wallet interface, despite acknowledging the technical advancements that the update brings.

Ledger’s Chief Technology Officer, Charles Guillemet, later clarified earlier communications that inaccurately labeled the Multisig service as free, attributing the miscommunication to a typographical error. Coverage from technology outlets has also highlighted concerns regarding how a closed coordination layer could alter expectations for transparency in self-custody tools, even as the underlying Safe protocol remains open-source.

Product Refresh and Market Positioning

In conjunction with the Multisig updates, Ledger has rebranded its companion app from Ledger Live to Ledger Wallet and introduced the Nano Gen5, priced at $179. The new device features an E Ink touchscreen, Bluetooth 5.2, and NFC capabilities for recovery and security keys, as well as support for Clear Signing. The shift in terminology from “hardware wallet” to “signer” indicates Ledger’s strategy to expand its offerings beyond mere cryptocurrency transactions, targeting broader applications in identity verification and authorization.

According to company reports, Ledger has sold over 8 million devices and claims its products secure more than 20% of global crypto assets. Notably, Ledger asserts that no device has been successfully hacked in real-world scenarios. Nevertheless, security experts warn that hardware protection is not foolproof against social-engineering threats such as phishing attacks. Cybersecurity firm Kaspersky advises users to remain vigilant, as scams can still compromise funds if victims inadvertently reveal their seed phrases or sign malicious transactions.

Competition in the hardware wallet sector is intensifying. Recently, Trezor announced the launch of its Safe 7, which includes a transparent and auditable secure element, alongside what it describes as a “quantum-secure” update architecture. This underscores a broader industry race to strike a balance between transparency, usability, and resilience in digital asset management.

Critics of Ledger’s new Multisig feature have also pointed out that it does not support older Nano S devices, which lack the memory necessary for the advanced signing features. This limitation has led some users to either upgrade to newer hardware or seek alternative coordinators for their multisig setups. For those who prefer open-source solutions, options such as Specter Desktop and Sparrow Wallet are available, both of which support Ledger devices. Ledger further documents integrations using external coordinators for Bitcoin and multisig accounts utilized by teams and decentralized autonomous organizations (DAOs) globally.

As the landscape of cryptocurrency continues to evolve, Ledger’s latest updates and the resulting community response highlight the ongoing tension between innovation, user autonomy, and the principles of self-custody in the digital asset space.