Bybit Hack Drama: $42.8M Frozen as Crackdown Heats Up

Less than 48 hours after the $1.5 billion Bybit hack, crypto exchanges have frozen $42.8 million in stolen assets.

The fast, coordinated response shows the industry’s dedication to security and fraud prevention.

According to Bybit, multiple exchanges collaborated to track and stop the movement of hacked funds. THORChain blacklisted the wallet addresses tied to the attack, believed to be linked to North Korea’s Lazarus Group. Coinex provided the intel to help with the asset freeze.

Crypto Platforms Mobilize to Stop Stolen Funds

Bybit said major exchanges took proactive steps, freezing assets across multiple blockchains:

• ChangeNow: 34 ETH (~$97,000) linked to the exploit.

• Avalanche Network: 0.38755 BTC (~$37,124).

• FixedFloat: $120,000 USDC and USDT.

• Bitget & Other CEXs: Monitoring flagged addresses.

• Tether & Circle: Flagged and froze 181,000 USDT.

Bybit gave a shoutout to the other teams for their quick actions. “Respect to their teams for their timely response. Their efforts helped block blacklisted addresses and monitor transactions.”

Bybit Enhances Security Amid Fraud Concerns

Beyond freezing funds, Bybit is taking additional security measures to prevent further exploitation. They partnered with Solana Foundation President Lily Lui and Pump.fun to remove a Solana-based token linked to the attackers.

Blockchain forensics show the Lazarus Group is using Solana bridges and fake KYC data to launder funds. Bybit issued a public advisory warning users against phishing scams, saying they will never ask for deposits, passwords or sensitive personal data.

“Verify official sources and report suspicious activity immediately,” they said.

Ethereum Community Considers Blockchain Rollback

In response to the attack, some Ethereum devs are talking about rolling back the blockchain to mitigate the hacker’s impact. While that’s never been done for a high-profile incident, it’s an open topic in the crypto community.

As authorities and exchanges continue to investigate, Bybit says security enhancements are ongoing. They promise to protect assets and prevent further breaches.

The evolving Bybit hack case underscores the importance of vigilance in crypto security. Users are advised to stay informed, follow best practices, and remain cautious of potential fraud attempts.