The cryptocurrency exchange Bybit reported a significant breach on February 23, 2025, in which hackers stole $1.5 billion (£1.2 billion) in Ethereum. This incident is believed to be the largest single digital theft in history, prompting Bybit to seek assistance from cybersecurity experts to recover the stolen funds.
- Bybit lost $1.5bn in a major hack.
- Ethereum wallet exploited during routine transfer.
- CEO assures customers' assets are safe.
- Over 350,000 withdrawal requests received.
- Bybit offers 10% reward for recovered funds.
- Possible involvement of North Korean hackers.
The hack occurred during a routine transfer of Ethereum from a cold wallet to a warm wallet, which is used for daily trading. An attacker exploited security measures, allowing them to transfer the assets to an unknown address. Following the breach, Bybit experienced a surge in withdrawal requests, with over 350,000 submitted by customers, potentially leading to processing delays.
In response to the incident, Bybit’s co-founder and CEO, Ben Zhou, stated that the exchange is solvent and can cover the loss, as all customer assets are backed 1:1. He emphasized that the company holds $20 billion in customer assets and is capable of recovering from this setback either through internal funds or loans from partners.
The price of Ethereum fell nearly 4% after the News broke but has since stabilized. Bybit is offering a 10% reward for any recovered funds, which could amount to $140 million if the full amount is retrieved. The company aims to enhance its security infrastructure and maintain its commitment to the crypto community in the aftermath of this incident.
This incident marks a major challenge for Bybit and the broader cryptocurrency industry, which has seen growth in recent months. The identity of the attackers remains unknown, but some reports suggest possible involvement from North Korean hackers, known for previous large-scale thefts.
