News View Non-AMP

Bybit Hack Update: Reserves Under Pressure After $1.4B Loss – Will It Recover?

Published by
Zameer Attar

The recent Bybit hack has sent shockwaves through the crypto industry, with attackers stealing $1.4 billion in digital assets. The breach triggered widespread panic, but it also led to an unexpected show of support as large amounts of BTC, ETH, XRP, and USDT flowed into Bybit. Many saw this as a sign that investors and platforms were backing the exchange despite the crisis.

Hacker Now Holds More ETH Than Vitalik Buterin

A major concern is that the hacker now controls over 500,000 ETH, more than Ethereum co-founder Vitalik Buterin ’s reported holdings of 240,000 ETH. The stolen assets are spread across 53 wallets, closely monitored by security teams. Since this is a high-profile attack, selling such a large amount without getting caught will be difficult.

Despite the situation, Bybit CEO Ben Zhou assured users that no customer funds were lost and that the exchange remains financially stable. He also confirmed that Bybit successfully processed over 350,000 withdrawal requests following the hack.

Was Binance Involved? CZ Shuts Down Rumors

Some speculated that Binance might have helped Bybit stabilize by transferring Ethereum to the exchange. However, Binance CEO Changpeng Zhao (CZ) quickly denied this. In a post on X (formerly Twitter), he explained that the ETH inflows were simply user transactions or whale activity, not Binance stepping in to assist.

Crypto analyst Anndy Lian praised Binance’s leadership but advised his followers to withdraw funds from Bybit, not due to a lack of trust but as a precaution against any unexpected risks.

Meanwhile, on-chain data from Lookonchain showed that a whale withdrew 11,800 ETH ($31 million) from Binance and deposited it into Bybit’s cold wallet. Soon after, another 36,000 ETH ($96.5 million) moved from Binance’s hot wallet to Bybit. Reports suggest these may be loans aimed at helping Bybit manage customer withdrawals.

Whale Moves Shake Up the Market

Despite concerns, large investors and rival exchanges have backed Bybit with major deposits. Whale Alert reported that an unknown wallet sent nearly 3,000 BTC ($285 million) to Bybit, while another transferred 39,998 ETH ($105.5 million).

Bitget also contributed significant funds, and HTX co-founder Jun Du announced he would deposit 10,000 ETH into Bybit, promising not to withdraw it until next month as a sign of support.

Withdrawals Surge as Users React

While some whales and platforms are supporting Bybit, many users remain cautious. Arkham Intelligence reported that Galaxy Digital’s OTC trading desk withdrew 25,000 ETH ($67 million) and 200,000 USDC within hours of the attack. Another 700 BTC ($68.8 million) was also withdrawn by an anonymous wallet, adding to the growing outflow of assets.

Bybit Still Holds Billions—What’s Next?

Even after the hack and withdrawals, Bybit still holds significant reserves. Reports show it has 450,462 ETH ($1.2 billion), along with BTC, USDT, USDC, and MNT, totaling billions in assets.

Bybit is now focused on restoring confidence and stabilizing its operations. The market is watching closely to see how the exchange recovers from one of the biggest crypto hacks in history.

Zameer Attar

Zameer is a financial analyst and writer with a particular interest in cryptocurrency markets. He has been studying cryptocurrencies and their market behavior for several years and deeply understands the factors that affect the price of cryptocurrencies. His expertise lies in his ability to use both technical and fundamental analysis to make informed predictions about the future direction of cryptocurrency prices. He has a strong understanding of market sentiment and uses this to inform his trading decisions and price predictions.

Recent Posts

Hasbulla’s BULLA Token Faces Scam Accusations Amid Growing Crypto Criticism

The latest memecoin hype around Russian influencer Hasbulla’s new token BULLA is turning sour as…

May 29, 2025

Russia Allows Crypto-Related Products for Investors – But With These Limits

Russia’s central bank is slowly opening up to crypto-related products, but only in a very…

May 29, 2025

Top Bitcoin Price Predictions from Bitcoin Conference 2025: Experts Forecast $170K to $13M

The Bitcoin 2025 Conference in Las Vegas has just concluded. The event witnessed numerous spectacular…

May 29, 2025

DOGE Price Forecast: Can Elon Musk Save Dogecoin in 2025?

The DOGE price is stirring once again, and whispers across the crypto sphere suggest Elon…

May 29, 2025

LBank Successfully Hosts 1001 Crypto Nights During TOKEN2049 Dubai, Strengthening Its Global Crypto Cultural Footprint

SINGAPORE, May 1st, 2025 – LBank(lbank.com), the globally leading cryptocurrency exchange, successfully hosted 1001 Crypto…

May 29, 2025

How Altcoins Fared Since Trump’s Election: XRP’s 350% Rally vs. Bitcoin’s 58% Rise

Since Trump's election, XRP has been on an impressive run, surging 350%, outperforming the rest…

May 29, 2025