diff --git a/packages/hdwallet-keepkey-nodewebusb/src/transport.ts b/packages/hdwallet-keepkey-nodewebusb/src/transport.ts
index 2a6e8954..a20dd9c8 100644
--- a/packages/hdwallet-keepkey-nodewebusb/src/transport.ts
+++ b/packages/hdwallet-keepkey-nodewebusb/src/transport.ts
@@ -6,6 +6,33 @@ import { VENDOR_ID, WEBUSB_PRODUCT_ID } from "./utils";
 
 export type Device = WebUSBDevice & { serialNumber: string };
 
+// Bound a single USB transfer so a wedged/suspended/unplugged device cannot
+// block the caller forever (libusb submits transfers with an infinite timeout).
+// Writes complete in well under DEFAULT_TIMEOUT; a read may legitimately wait on
+// a device button press, so it gets LONG_TIMEOUT. On timeout we throw a retryable
+// error and stop blocking the worker.
+//
+// CAVEAT: throwing here does NOT by itself release the claimed interface. The
+// interface is only freed when something calls transport.disconnect() ->
+// usbDevice.close(). That reliably happens on the syncState()/getFeatures()
+// recovery path, but NOT on the sign/address RPC paths, which currently re-throw
+// without disconnecting. Until the caller is hardened (or this is changed to do
+// clearHalt + releaseInterface(0) + close() in-transport), a mid-sign timeout can
+// leave interface 0 claimed until the next USB event triggers recovery -- which
+// can surface as a transient LIBUSB code 19 / ConflictingApp on an immediate
+// reconnect. Bounding the transfer is still strictly better than hanging forever.
+function withTransferTimeout<T>(promise: Promise<T>, ms: number, label: string): Promise<T> {
+  // Swallow a late rejection from the orphaned transfer after we've given up.
+  promise.catch(() => {});
+  let timer: ReturnType<typeof setTimeout>;
+  return Promise.race([
+    promise,
+    new Promise<never>((_, reject) => {
+      timer = setTimeout(() => reject(new Error(`${label} timed out after ${ms}ms`)), ms);
+    }),
+  ]).finally(() => clearTimeout(timer!));
+}
+
 export class TransportDelegate implements keepkey.TransportDelegate {
   usbDevice: Device;
 
@@ -69,18 +96,31 @@ export class TransportDelegate implements keepkey.TransportDelegate {
   }
 
   async writeChunk(buf: Uint8Array, debugLink?: boolean): Promise<void> {
-    const result = await this.usbDevice.transferOut(
-      debugLink ? 2 : 1,
-      buf.buffer.slice(buf.byteOffset, buf.byteOffset + buf.byteLength) as ArrayBuffer
+    const result = await withTransferTimeout(
+      this.usbDevice.transferOut(
+        debugLink ? 2 : 1,
+        buf.buffer.slice(buf.byteOffset, buf.byteOffset + buf.byteLength) as ArrayBuffer
+      ),
+      core.DEFAULT_TIMEOUT,
+      "transferOut"
     );
     if (result.status !== "ok" || result.bytesWritten !== buf.length) throw new Error("bad write");
   }
 
   async readChunk(debugLink?: boolean): Promise<Uint8Array> {
-    const result = await this.usbDevice.transferIn(debugLink ? 2 : 1, keepkey.SEGMENT_SIZE + 1);
+    // LONG_TIMEOUT: a read may legitimately block on a device button press
+    // (PIN, passphrase, tx/seed confirmation), so it must not be cut short.
+    const result = await withTransferTimeout(
+      this.usbDevice.transferIn(debugLink ? 2 : 1, keepkey.SEGMENT_SIZE + 1),
+      core.LONG_TIMEOUT,
+      "transferIn"
+    );
 
-    if (result.status === "stall" && result.data !== undefined) {
-      await this.usbDevice.clearHalt("out", debugLink ? 2 : 1);
+    if (result.status === "stall") {
+      // Reset the halt on the IN pipe we just read (not OUT), then surface a
+      // retryable error -- a stalled transfer's buffer is not a valid packet.
+      await this.usbDevice.clearHalt("in", debugLink ? 2 : 1);
+      throw new Error("bad read");
     } else if (result.status !== "ok" || result.data === undefined) {
       throw new Error("bad read");
     }
diff --git a/packages/hdwallet-keepkey-webusb/src/transport.ts b/packages/hdwallet-keepkey-webusb/src/transport.ts
index 6b3a6b87..122e1749 100644
--- a/packages/hdwallet-keepkey-webusb/src/transport.ts
+++ b/packages/hdwallet-keepkey-webusb/src/transport.ts
@@ -76,7 +76,10 @@ export class TransportDelegate implements keepkey.TransportDelegate {
     const { status, data } = await this.usbDevice.transferIn(debugLink ? 2 : 1, keepkey.SEGMENT_SIZE + 1);
 
     if (status === "stall") {
-      await this.usbDevice.clearHalt("out", debugLink ? 2 : 1);
+      // Reset the halt on the IN pipe we just read (not OUT), then surface a
+      // retryable error -- a stalled transfer's buffer is not a valid packet.
+      await this.usbDevice.clearHalt("in", debugLink ? 2 : 1);
+      throw new Error("bad read");
     }
 
     if (data === undefined) throw new Error("bad read");