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You have to set up and build the kernel as decribed in http://oleg.wl500g.info.

After some trial and error, it seems like the following introduced delay fix the problem (don’t ask me why):

Firmware 1.9.2.7-10, file src/linux/linux/drivers/usb/usb.c

In the function...

Edit: It really seems to be a timing problem. If I wait to plug the second reader until booted then it seems to work....