Cryptocurrency exchange Bybit has suffered the largest hack in the history of cryptocurrency theft. Hackers stole $1.5 billion worth of digital assets, Bybit CEO Ben Zhou said on social media platform X.
What was stolen?
- The attack targeted Bybit's so-called cold wallet, an offline system designed to ensure the security of assets.
- The stolen funds, mostly in Ethereum (ETH), were quickly transferred to various wallets and withdrawn through various platforms.
- Ben Zhou assured that all other cold wallets are safe and that the platform's withdrawals are working as normal.
After the attack, Bybit users began withdrawing funds en masse, fearing the platform would go bankrupt. Zhou assured that the situation has stabilized, and the exchange has received a credit bridge from partners to cover potential losses and continue operations.
Who are the hackers?
According to CNBC, analytics firms Elliptic and Arkham Intelligence have tracked the movement of the stolen assets and confirmed that this is the largest cryptocurrency theft. Previously, attackers stole $611 million from Poly Network in 2021 and $570 million in BNB Binance tokens in 2022.
According to Elliptic, the attack was carried out by the North Korean hacking group Lazarus, which is funded by the North Korea's government. Lazarus is known for cyberattacks on crypto exchanges and financial institutions in order to circumvent sanctions and fund the Pyongyang regime.
The Lazarus Group has been attacking crypto platforms since at least 2017. Since then, it has carried out a number of high-profile thefts, including the hacking of four South Korean exchanges for a total of $200 million in bitcoin.
International experts believe Pyongyang is using the stolen cryptocurrency to fund its programs to develop and maintain its nuclear arsenal.
