There are several concerns about the Ledger Recover service. Let me list the main points:
- Centralization and Trust: There are concerns about the centralization of the recovery process. It’s questionable whether the security of the three entities holding fragments of the recovery phrase (Ledger, Coincover, and Escrow Tech) is reliable. Moreover, the security of the ID authentication process and the storage of personal data on Ledger’s servers could also be problematic.
- Potential for Collusion or Hacking: If any two of the three entities are hacked or collude, they could recreate the recovery phrase and potentially gain access to the user’s cryptocurrency. Additionally, there’s a risk that Ledger’s servers could be compromised, which could allow unauthorized access to users’ recovery accounts.
- Government Coercion: There’s a potential for government coercion. Ledger might be forced to disclose user information due to laws and regulations.
- Security of Personal Data: There are concerns about the safety of personal data, especially IDs and selfies, stored on Ledger’s servers during the process.
- User Responsibility: Even when using Ledger Recover, users are required to keep a copy of their recovery phrase. This can also be lost, or not properly managed.
- Availability and Convenience: While the Ledger Recover service is only available on mobile apps, firmware updates needed for Ledger Recover can only be done on desktops, which could pose a problem.
In conclusion, I am personally skeptical about the Ledger Recover service given these issues. It seems to move away from the importance of self-management and the principle of cryptocurrency to control one’s own assets. Therefore, I can’t endorse the Ledger Recover service in its current form.