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Dubai: Bybit operations back to normal within 24 hours after $1.5-billion crypto hack
The world’s second-largest cryptocurrency exchange by trading volume, Bybit said its withdrawal and product services remained 'uninterrupted'
- PUBLISHED: Mon 24 Feb 2025, 11:47 AM
Dubai-headquartered crypto exchange Bybit processed over 350,000 withdrawal requests within 12 hours after the largest hack in crypto history.
Hackers stole around $1.5 billion in digital assets from Bybit's Ethereum wallet, making it the biggest cryptocurrency heist recorded.
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“Despite the surge in withdrawal requests, the exchange ensured that all transactions were completed without significant delays,” the company said. “Bybit's operations quickly returned to normal, with client activity rebounding to pre-hack levels within 24 hours.”
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The world’s second-largest cryptocurrency exchange by trading volume, Bybit's withdrawal and product services remained “uninterrupted”.
The company said its 1:1 reserve guarantee ensured that client assets remained intact despite the “significant scale of the hack”. CEO Ben Zhou reassured users that the exchange was solvent and could cover the loss.
Bybit said it worked closely with regulators and law enforcement agencies to investigate and potentially recover the stolen funds.
As reported by Khaleej Times, Dubai's Virtual Assets Regulatory Authority (VARA) is "actively monitoring" the situation. In a statement, the regulatory body said the hack remains a "highly evolving matter that we will continue to closely track until it stabilises".
Bybit does not hold a regulatory licence under VARA, but is working towards obtaining a Virtual Asset Service Providers (VASP) operating permit. It holds a provisional (non-operational) approval for virtual asset exchange services in Dubai for retail, qualified investors, and institutional users.
Recovery programme
The crypto industry rallied around Bybit, with major exchanges blacklisting the hacker's wallets. This helped prevent further movement of the stolen funds.
The company had announced a $140-million bounty for ethical hackers if they help effect a full recovery. As part of this, it has revealed a new interface that will be constantly updated with a list of suspicious wallet addresses identified so far. This will allow security experts to streamline and expedite their efforts in recovering the funds.
“The current list of addresses is the result of the tireless work of some of the best white hats and investigators the industry has to offer, within three days of the largest heist in crypto. Bybit has received thousands of tips from colleagues in the industry, demonstrating a remarkable spirit of cooperation in the face of adversity,” the company said.
As Associate Editor, Sahim Salim helps tell the UAE story like no one else does — and leads a team of reporters that asks the questions to get news and headlines that matter.