🔹 Key Points:

  • Bybit loses $1.5 billion in a massive hacking incident, marking one of the largest crypto heists in history.

  • North Korean hacker group 'Lazarus' suspected of involvement in the attack.

  • Bybit CEO assures user assets are safe and initiates recovery measures.

Bybit Hacked for $1.5 Billion: A Historic Crypto Heist

One of the leading cryptocurrency exchanges, Bybit, has suffered a major security breach, resulting in the theft of approximately $1.5 billion worth of crypto assets.

This incident, which has sent shockwaves across the crypto industry, is expected to go down as one of the largest hacks in the history of digital assets.

North Korean Hacker Group 'Lazarus' Suspected

On February 21, 2025, Bybit's CEO Ben Zhou announced on social media platform X that the exchange’s Ethereum multi-signature cold wallet had been compromised. Hackers allegedly manipulated the user interface (UI) to deceive wallet signers, allowing them to steal an estimated 401,347 ETH, worth approximately $1.46 billion at the time of the attack.

According to blockchain analytics firm Arkham Intelligence, the stolen funds were dispersed across multiple wallets and some have already been laundered through new addresses and liquidated.

Cybersecurity analyst ZachXBT and Arkham Intelligence suspect that the North Korean hacking group 'Lazarus' is behind the attack. Lazarus has been linked to numerous high-profile cryptocurrency thefts in the past, including attacks on major exchanges and DeFi platforms.

Bybit’s Response and Recovery Efforts

Bybit CEO Ben Zhou has reassured users that their assets remain secure and that withdrawals continue to operate normally. He also announced that the exchange has secured bridge loans from partners to replenish approximately 80% of the lost funds. So far, 70% of withdrawal requests from affected users have been processed.

As a precaution, Bybit is considering temporarily suspending all withdrawals to enhance security and prevent further unauthorized access. Changpeng Zhao (CZ), former CEO of Binance, has offered full support, advising Bybit to halt withdrawals until a complete security review is conducted.

Market Turmoil: Ethereum and Bitcoin Drop

The hack has had a significant impact on the crypto market, with Ethereum (ETH) dropping by 8% from its daily high. Bitcoin (BTC) also experienced a similar decline, as investor sentiment turned bearish.

The possibility of the stolen ETH being dumped on the market has raised concerns about further price drops and increased volatility. Investors are closely watching how Bybit handles the aftermath of this historic breach.

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