Bybit Hack – The Largest in Crypto History

In February 2025, Bybit suffered a catastrophic breach where 400,000 ETH (worth ~$1.5B at the time) was drained from its Safe{Wallet} infrastructure. Forensics point directly to North Korea’s Lazarus Group, notorious for sophisticated crypto cybercrime under “TraderTraitor.”

The attackers manipulated smart contract permissions and backend APIs—bypassing multi-signature protection through a zero-day exploit in key management and session token replay. The sheer volume impacted liquidity pools, forced flash selloffs, and destabilized several DeFi lending platforms connected to Bybit reserves.

This breach prompted regulatory bodies across South Korea, Japan, and the UAE to propose stricter self-custody standards and CEX insurance schemes. Bybit is working with Chainalysis and Interpol.

Lesson: Never underestimate the risk from nation-state actors targeting crypto liquidity hubs. Use cold storage and real-time threat detection layers.

Cashtags: $BTC , $ETH

Hashtags: #CryptoHacks #ExchangeSecurity #BlockchainRisk