The concern here seems overblown. You have to opt into this service.
Apparently ledger pushed an update yesterday that adds a “feature” that encrypts and uploads your seed to third parties? lmao.
https://www.reddit.com/r/ledgerwallet/comments/13itm7u/is_there_a_backdoor_yes_or_no/
Discussion
The fact it exists at all is the issue
Do you not feel the same about the existence of Trezor’s chain analysis ties and Terms of Service? Once leashed by the state, there are no take backs, only more demands, a tighter collar, until everyone with integrity has left the company and users are captured.
I guess I can see that. According to Ledger they don’t have access to it unless you give them access. Sounds like trust is the issue which I know many don’t have in Ledger.
Private keys are meant to be air gapped or at least never leaving a device, especially not sent to the internet - no matter what alleged encryption or security is used.
Imagine to get access you need an email and password. They know your email. Now your password. You effectively transformed your secure private key into a short password brain wallet or low time brute force puzzle.
Ledger is not something I’d recommend to anyone, even if it’s fairly mature and nice enough general UX.