In a staggering blow to the cryptocurrency industry, Dubai-based exchange Bybit has fallen victim to a monumental hack, resulting in the theft of approximately $1.5 billion in Ethereum.
This incident, which occurred during a routine transfer from a cold wallet to a warm wallet, is being hailed as the largest cryptocurrency theft to date.
Preliminary investigations suggest that the notorious North Korean hacking group, Lazarus Group, is behind this audacious heist.
Bybit’s CEO, Ben Zhou, disclosed that the attackers managed to manipulate the transaction interface, gaining control over the cold wallet and siphoning its contents to an unidentified address.
Despite the enormity of the loss, Zhou reassured clients of the platform’s solvency, emphasizing that all customer assets remain fully backed and that unaffected wallets and withdrawals are secure.
In the immediate aftermath, over 350,000 withdrawal requests were processed efficiently, underscoring the platform’s commitment to maintaining user trust and operational stability.
Blockchain analytics company Arkham Intelligence has pointed the finger at North Korea’s Lazarus Group as the masterminds behind the attack.
In a social media post, the firm revealed that a reliable online investigator provided them with what they called “definitive proof” linking the cybercriminals to the notorious North Korean hacking organization.
However, despite Arkham’s assertions, the identities of the perpetrators have yet to be officially verified.
Bybit’s CEO, Ben Zhou, addressed the incident in a statement on X following the massive theft.
“Bybit remains financially stable even if the stolen funds are not recovered. All client assets are backed 1:1, and we are fully capable of covering the loss,” he assured.
The CEO labeled the attack as “the worst hack in history.”
Following the breach, Mr. Zhou revealed that the company handled over 350,000 withdrawal requests.
“ALL withdrawals have been processed,” he confirmed.
Bybit stated that it had reported the cybercrime to law enforcement and was actively working to track down those responsible.
“We have been working swiftly and extensively with on-chain analytics providers to identify and analyze the implicated addresses,” the company added.
Founded in 2018, Bybit manages an impressive $29 billion in assets and provides users access to a wide range of cryptocurrencies.
