#TokenMovementSignals Cryptocurrency exchange Bybit has suffered what could be the largest security breach in cryptocurrency history, with $1.46 billion worth of Ethereum (ETH) being withdrawn from its hot wallets. Bybit CEO Ben Zhou confirmed the hack on social media, explaining that the hacker had taken control of a specific cold ETH wallet and transferred all of its contents to an anonymous address.

Suspicions of the security breach began when on-chain data revealed a massive transfer of 401,346 ETH, worth an estimated $1.13 billion, from Bybit’s hot wallet to an anonymous wallet. The transfer not only raised concerns about a potential hack, but also impacted the market price of Ethereum, with the cryptocurrency dropping more than 4% as the stolen funds began to be liquidated.

Zhou reassured users that despite the breach, all other cold wallets remained secure and withdrawals were operating normally. According to details provided by Zhou, the hack was carried out by tricking the wallet signers with a fake user interface that displayed the correct address, causing them to unknowingly agree to a change in the smart contract logic. This gave the attacker complete control over the wallet, enabling them to steal all the ETH inside.