On Friday, Dubai-based cryptocurrency exchange Bybit reported a staggering $1.5 billion theft of digital assets, the world’s largest crypto heist.
As per the initial reports, hackers breached security protocols, targeting an offline wallet and stealing 400,000 Ethereum (ETH) tokens.
The breach occurred during a transaction, allowing attackers to transfer the funds to an unknown address. Ethereum, the second-largest cryptocurrency by market value, dropped nearly 4% to $2,641.41 post-hack. Bybit identified the compromised offline wallet as the entry point.
Bybit’s Response
CEO Ben Zhou reassured users in an online chat, saying, “Your funds are safe.” The company echoed this on X, announcing a refund program to reimburse affected users fully. With $20 billion in client assets, Zhou pledged to cover losses using Bybit’s treasury or partner loans if needed.
This theft dwarfs the previous record, a $620 million Ethereum and USD Coin hack from the Ronin Network in 2022, linked to North Korea’s Lazarus group. Bybit, founded in 2018 with early backing from Peter Thiel, now faces its biggest challenge.