Let me tell you#Bybit Let’s take a look at the whole story of the stolen currency incident!
After reading several reports, I found that they still failed to explain the matter clearly.

Here’s what’s going on:
To recap: On the evening of February 21, 2025, the cryptocurrency exchange Bybit suffered a serious security incident, which resulted in the loss of its Ethereum (#ETH ) Cryptocurrencies in multi-signature cold wallets were stolen.

Attack process:
The hacker tampered with the smart contract logic of the Bybit ETH cold wallet through complex attack methods. Specifically, the hacker used the front-end UI to deceive the multi-signature wallet to sign malicious content, thereby controlling a specific ETH cold wallet.
When executing the transfer, the signer saw a fake interface showing the correct address, but in fact the signature information was used to change the smart contract logic of the cold wallet. The hacker then transferred all the ETH in the cold wallet to an unknown address.

Stolen assets:
According to on-chain data, the stolen assets include:
401,347 #ETH, worth about $1.12 billion.
90,376 #stETH, worth ~$253M.
15,000 #cmETH, worth ~$44.13 million.
8,000 #mETH, worth ~$23M.
The total value of the stolen assets exceeded $1.46 billion.

Funds Flow:
The hacker dispersed the stolen funds to multiple addresses in an attempt to confuse the flow of funds. According to monitoring, the hacker has dispersed part of the ETH to 49 addresses, with each address containing about 10,000 ETH.
The hacker also exchanged stETH and mETH for ETH on decentralized exchanges (DEX) to further launder funds.

Official response and follow-up measures
Official response - Bybit co-founder and CEO @benbybit Ben Zhou confirmed the attack on the X platform and said that other cold wallets and hot wallets were not affected and user withdrawals were normal.
Ben Zhou emphasized that Bybit has the ability to pay and can bear the loss even if the stolen funds cannot be recovered.

Industry Assistance
On-chain analyst#ZachXBTcalls on major exchanges and service providers to blacklist the hacker's addresses to prevent further movement of stolen funds.
The Beosin security team has added the hacker's address to its KYT tag library and issued an alert for related fund transfers.
(including @cz_binance @heyibinance#Bitget etc. have come out to announce their support)

Market Impact
After the incident, the cryptocurrency market fluctuated, the price of Ethereum fell for a short period of time, and Bybit's native token MNT also fell sharply.
This incident has aggravated the concerns of the already not-so-strong bull market users about the security of cryptocurrency exchanges, prompting the industry to re-examine the existing security mechanisms. It feels that the CEX battle is about to end, and the DEX battle is the future direction (just look at how much#BINANCEpays attention to#BSCand how#OKXpays attention to #OKXWallet, because#CEXis too centralized)

Summarize
The Bybit theft is one of the largest security incidents in the cryptocurrency industry in recent years, highlighting the complex security challenges faced by exchanges. Although Bybit claims to be able to bear the loss, the incident still has a negative impact on market confidence and user trust.#BYBIT被盗