Bybit Hack: $1.5 Billion Ethereum Theft in Biggest Crypto Heist Ever
Dubai-based cryptocurrency exchange Bybit experienced a massive security breach. Hackers stole $1.5 billion (£1.2 billion) in Ethereum. This is believed to be the largest single digital theft in history.
The Bybit Hack Crypto Heist
An attacker gained control of a Bybit Ethereum wallet. The attacker transferred the cryptocurrency to an unknown location. Bybit immediately reassured customers. Their funds were safe.
Bybit’s Response to $1.5 Billion Hack
Bybit CEO Ben Zhou made a statement on X. He said Bybit would refund all affected users. This is even if the stolen Ethereum is not recovered.
“Bybit is solvent even if this hack loss is not recovered,” Zhou stated. “All of clients assets are 1 to 1 backed, we can cover the loss.”
Zhou added that Bybit holds $20 billion in customer assets. The company can cover losses itself. It could also use loans from partners.
The hack caused a surge in withdrawal requests. Bybit received over 350,000 withdrawal requests. This may cause processing delays.
The Bybit Hack Attack and Its Repercussions
The hack happened during a routine transfer. Ethereum was moved from a cold wallet to a warm wallet. The attacker exploited security controls. Zhou confirmed that other Bybit wallets were unaffected.
The Ethereum price dropped after news of the hack. It has since mostly recovered.
Bybit is seeking help. It wants the “brightest minds in cybersecurity and crypto analytics.” Bybit is offering a 10% reward. This could be $140 million if all funds are recovered.
“Bybit is determined to rise above the setback,” Zhou said. “We will fundamentally transform our security infrastructure.”
Some reports suggest North Korean state hackers were involved. Groups like the Lazarus Group have been linked to similar heists. This includes the $615 million theft from Ronin Group in 2022.
The Bybit hack is a major setback for the cryptocurrency industry. It comes after recent growth. This growth followed Donald Trump’s return to the White House and promises of looser regulation. The investigation continues. The search for the stolen Ethereum is ongoing.
