🚨 ByBit Lost 70% Of #Ethereum Holdings To Hacker, Says CEO.

#Bybit , a leading crypto exchange, suffered a devastating $1.5 billion hack, resulting in the loss of approximately 70% of its $ETH holdings. The CEO confirmed during a recent livestream that the exchange typically stores 60 to 70% of its $ETH in cold wallets, and this was the portion targeted by the hackers.

The attack saw over 400,000 ETH being siphoned from Bybit's cold wallet. The stolen ETH was quickly converted into staked $mETH and $stETH tokens before being swapped back into $ETH. Security experts revealed that the hackers managed to deceive those in control of the keys, tricking them into signing a malicious transaction that appeared legitimate. The specifics of how the deception occurred remain unclear, but possibilities include compromised user interfaces or infected computers of the involved individuals.

Further investigations point to the notorious North Korean hacking group, Lazarus Group, as the culprits behind the attack. This group has a history of targeting major crypto exchanges.

Despite the massive losses, Bybit's CEO has assured that all client assets are fully backed and the exchange will cover the losses. To manage the immediate liquidity crunch, Bybit is securing a bridge loan, having already obtained nearly 80% of the stolen $ETH. The exchange is also processing massive withdrawals and is considering its options carefully, including whether to pause withdrawals as suggested by other industry leaders.

In response to the situation, some have humorously suggested that the Ethereum community should consider rolling back the blockchain, a method previously used to address significant hacks.

⚠️Disclaimer: This analysis is for informational purposes only and should not be considered financial or investment advice.