Bybit, a major cryptocurrency exchange, has experienced a significant breach, resulting in the theft of nearly $1.5 billion in Ethereum (ETH) and staked Ethereum. This incident marks the largest cryptocurrency theft in history.
The attack involved a hacker gaining control of one of Bybit’s cold wallets, which are typically offline for security. The hacker manipulated a planned transfer to redirect funds to an unidentified address. This breach surpasses previous record thefts, including the $620 million stolen from the Ronin Network in 2022 and the $610 million taken from Poly Network in 2021.
Prior to the hack, Bybit held approximately $16.2 billion in assets, with daily trading averaging over $36 billion. The theft represents about nine percent of the exchange’s total assets, leading to a drop in Ether prices by up to 6.7 percent.
Despite the severity of the incident, Bybit’s CEO reassured users that other cold wallets remain secure and that withdrawals are functioning normally. The exchange has reportedly secured around 80 percent of the funds needed to cover the loss through partner loans.
As the situation develops, Bybit’s security team is actively seeking assistance from experts in blockchain analytics and fund recovery to trace the stolen assets.
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