In a recent revelation, cryptocurrency exchange Bybit disclosed a sophisticated attack that resulted in the theft of over $1.46 billion in digital assets from its Ethereum cold wallet, marking the largest crypto heist in history. The breach occurred during a transfer meant for Bybit’s warm wallet, where the attack manipulated the transaction process while appearing legitimate. The notorious Lazarus Group, linked to North Korea, is believed to be behind this massive theft. Despite this incident, Bybit reassured users that all other cold wallets remain secure and has alerted authorities. This incident reflects the rising trend of cryptocurrency heists, driven by lucrative rewards and technological vulnerabilities.
Cryptocurrency Exchange Bybit Suffers Historic $1.46 Billion Hack
Published on Feb 22, 2025 by Ravie Lakshmanan
Cryptocurrency exchange Bybit has reported a major security breach, which has resulted in the theft of $1.46 billion in cryptocurrency from one of its Ethereum cold wallets. This incident marks the largest single cryptocurrency heist in history.
The breach occurred when Bybit’s Ethereum multisig cold wallet was manipulated during a transaction to their warm wallet. The company revealed that an attacker had cleverly masked the signing interface, leading to a change in the smart contract logic. As a result, the attacker gained control of the cold wallet and was able to transfer its entire contents to an unknown address.
In response to the incident, Bybit’s CEO, Ben Zhou, assured users that all other cold wallets are secure and that the company has reported the theft to the appropriate authorities. According to blockchain intelligence firms like Elliptic and Arkham Intelligence, this theft is linked to the notorious Lazarus Group, a hacking organization based in North Korea known for perpetrating cryptocurrency crimes.
This breach surpasses previous significant cryptocurrency hacks, including the Ronin Network hack ($624 million) and Poly Network ($611 million). In fact, it has raised concerns over the increasing sophistication of cyber threats targeting digital currencies.
Experts from Google-affiliated Mandiant suggest that the rising number of cryptocurrency heists can be attributed to the lucrative rewards, the difficulties in identifying the attackers, and the growing familiarity of organizations with cryptocurrency technologies. As the world of digital finance expands, so do the risks associated with it.
Bybit users are urged to remain vigilant as investigations into this high-profile heist continue.
Tags: Financial Crime, Cryptocurrency, Cybersecurity, Cryptocurrency Exchange, Bybit Hack
What happened with Bybit’s cold wallet?
Bybit, a popular cryptocurrency exchange, confirmed there was a major hack. The hackers stole around $1.46 billion from their cold wallet in a sophisticated attack.
How did the hackers get in?
The details are still under investigation, but it seems the hackers used advanced techniques to bypass security measures. Cold wallets are usually more secure, but this attack was well-planned.
What should users do now?
If you have funds on Bybit, it’s important to stay alert. Change your passwords and enable two-factor authentication if you haven’t already. Keep an eye out for any suspicious activity in your accounts.
Will Bybit reimburse users for the lost funds?
Bybit has not confirmed if they will reimburse affected users. They are working on investigating the incident and will likely provide updates soon.
How can similar attacks be prevented in the future?
Exchanges can improve security by using stronger encryption and continually updating their systems. Users also play a role by practicing good security habits, like using unique passwords and being cautious with their information.
