Bybit Coordinates With Exchanges to Freeze $42.85 Million Following $1.5 Billion Hack

• Bybit coordinated with global exchanges, freezing $42.85 million in stolen assets within two days of the $1.5 billion hack.
• Platforms like THORChain, ChangeNow, Avalanche, and Tether took measures to block wallets linked to the security breach.
• Bybit enhanced user security and warned against impersonation scams, while Ethereum community members discussed a possible blockchain rollback.

Bybit, a leading cryptocurrency exchange, has initiated a coordinated response with global platforms to recover stolen assets after suffering a $1.5 billion security breach. Within two days of the hack, nearly $43 million worth of digital assets were frozen across multiple exchanges and platforms. 

Exchanges Collaborate to Freeze Stolen Assets

Bybit confirmed in a statement that $42.85 million had been frozen as part of the recovery process. Decentralized exchange THORChain blacklisted wallets linked to the breach, while Coinex provided data that assisted Bybit’s investigation. 

ChangeNow froze 34 ETH, valued at approximately $97,000, and Avalanche restricted 0.38755 BTC, equivalent to $37,124. FixedFloat, operating on the Lightning Network, froze stablecoins amounting to $120,000 in USDC and USDT. Bitget and other centralized exchanges also took part in blocking flagged addresses.

Stablecoin issuers Circle and Tether collaborated to identify and flag suspicious wallets. Tether took measures to freeze 181,000 USDT, limiting the attacker’s ability to liquidate stolen assets. Bybit expressed appreciation to the involved platforms for their timely interventions and collaborative efforts.

Additional Measures to Mitigate Risks

Following the hack, Bybit has taken steps to enhance user protection. In partnership with Pump.fun and Solana Foundation President Lily Lui, the exchange removed a Solana-based token linked to the incident. Blockchain data indicated that the Lazarus Group, a hacking syndicate, bridged assets to Solana and used fabricated KYC documents to access various platforms.

Bybit also issued a public advisory to caution users against fraudulent actors impersonating the exchange’s officials. The warning urged users to verify communications through official sources and avoid sharing personal information. “Bybit will never request personal data, deposits, or passwords,” the advisory stated.

In the aftermath of the breach, some members of the Ethereum community are discussing the possibility of a blockchain rollback. This potential measure aims to prevent attackers from capitalizing on the stolen funds. However, discussions remain in early stages with no official decision announced.