$ETH

On Friday, February 21, 2025, Dubai-based cryptocurrency exchange Bybit experienced a significant security breach, resulting in the theft of approximately $1.5 billion worth of Ethereum. The incident occurred during a routine transfer from a cold wallet to a warm wallet, where attackers manipulated the transaction interface, gaining control over the cold wallet and transferring its contents to an unidentified address.

Bybit's CEO, Ben Zhou, assured clients that the exchange remains solvent, with all client assets fully backed. He emphasized that unaffected wallets and withdrawals continue to operate normally. Despite processing over 350,000 withdrawal requests following the hack, Bybit maintained that all withdrawals have been processed, and the system has returned to its regular pace.

The company is collaborating with blockchain forensic experts to trace and recover the stolen funds, which are reportedly being moved to new addresses. This event underscores ongoing security challenges within the cryptocurrency sector, which saw over $2.2 billion stolen from various platforms in 2024.