A major cyberattack has hit the cryptocurrency exchange Bybit, based in Dubai, with hackers stealing a staggering $1.5 billion worth of Ethereum. This could be the biggest crypto theft in history, surpassing the 2022 Ronin Network hack, where $620 million was stolen.
What Happened?
According to BBC, hackers managed to breach Bybit’s security, gaining access to a digital wallet containing Ethereum. They then transferred the stolen funds to an unknown address, making it difficult to track and recover.
After the attack, the price of Ethereum dropped by 4%, falling to $2,641 per coin on Friday. The hack has raised concerns about security in the cryptocurrency industry, where cyberattacks remain a major risk.
Bybit’s Response: Users Will Get Their Money Back
Bybit’s founder, Ben Zhou, assured users that their funds are safe and that the company will fully compensate all affected customers. The exchange, which holds $20 billion in assets, has two options to cover the losses:
- Using its own funds
- Taking a loan from investment partners
Zhou also confirmed that Bybit remains financially strong despite the attack. He stated, “All customer assets are backed 1:1, and we can cover the loss.”
Trump & Other Investors Linked to Bybit
Bybit was founded in 2018, and among its first investors were former U.S. President Donald Trump and ex-PayPal CEO Peter Thiel. The company has over 60 million users worldwide and offers a range of crypto trading services.
Trump has had a controversial relationship with cryptocurrencies. He once called crypto a fraud, but during his 2024 presidential campaign, he became the first candidate to accept donations in digital assets. Recently, Trump launched his own cryptocurrency, TRUMP, which saw an initial surge in value but later dropped significantly. His wife, Melania Trump, followed by releasing her own digital currency.
Bybit Works with Authorities to Track Hackers
Bybit has reported the hack to law enforcement and is actively investigating the attack. The company posted on X (Twitter) that it is working “quickly and intensely” to identify the hackers and recover stolen funds.
Crypto Industry Faces Growing Criticism
Cryptocurrency has grown in popularity among investors, but critics argue that its value is based purely on speculation, making it easy to manipulate. Events like the Bybit hack further fuel concerns about security risks in the crypto market.
What’s Next?
The Bybit hack raises important questions about the future of cryptocurrency security. Will this push regulators to enforce stricter protections? Can Bybit recover the stolen funds?
For now, crypto investors are watching closely, hoping for a safer and more secure future for digital assets.
