Bybit, a prominent cryptocurrency exchange, has reportedly suffered a significant security breach, resulting in the loss of $1.4 billion worth of ETH and stETH. Initial alerts were raised by cryptocurrency intelligence firm Arkham, which identified suspicious outflows exceeding $1 billion. The stolen funds are reportedly being moved to new addresses, with $200 million in stETH already sold.

Blockchain security firm SlowMist confirmed the exploit, sharing details of the hacker's addresses. Bybit CEO Ben Zhou acknowledged the breach, stating that a cold wallet was compromised, though other wallets remain secure. This incident underscores ongoing security vulnerabilities within the crypto exchange sector, raising concerns about asset safety and regulatory oversight.