Bybit Hack: 14 Billion US Dollars in Ethereum, but Exchange Solvent Again
The crypto exchange Bybit was hacked on Tuesday night, losing approximately 4,888 Ethereum worth about 14 billion US dollars. These funds were quickly withdrawn from customer accounts in a coordinated attack. Initially, Bybit sealed off its services, but after a status analysis, the Asian company is again solvent.
Details of the Hack
The attack came directly after the migration of Bybit’s systems to a new platform, which was supposed to bring improved reliability and performance. A loophole in the deposit system made the withdrawal unnoticed, as the hackers bypassed protective mechanisms.
Bybit Solvent Again
For a short time, Bybit seemed on the brink of insolvency. However, investors and insurance companies stepped in to compensate for the losses, leading to full restoration of solvency. CEO Ben Zhou emphasized the resilience of the company and assured clients of complete compensation.
Avoiding Similar Attacks
Experts advise keeping funds in private wallets rather than on exchanges to better protect against this type of theft. The Bybit incident also highlights the need for consistent improvements to security procedures in the crypto space.
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