Bybit is making a strong comeback after suffering one of the largest hacks in crypto history. In a shocking turn of events, hackers drained a staggering $1.4 billion from the exchange, sending shockwaves through the crypto world.
But instead of crumbling under pressure, Bybit has fought back – hard. The exchange has reportedly purchased $742 million worth of Ethereum (ETH) to restore its reserves and stabilize operations. This bold move has already helped ETH climb 6%.
Let’s dive into the details.
According to blockchain analytics firm Lookonchain, Bybit has bought 266,694 ETH, worth about $742 million. This is part of its plan to stabilize its reserves after losing a significant amount of funds in the attack.
The hack, carried out by the North Korean state-backed Lazarus Group, targeted Bybit’s multisignature cold wallet, resulting in the theft of nearly $1.4 billion.
On-chain data shows that Bybit has received 446,870 ETH—worth around $1.23 billion—from various sources, including loans, large investor deposits, and direct purchases. This covers 87% of the stolen funds, showing that the exchange is working hard to recover.
Blockchain data reveals that a wallet linked to Bybit, known as 0x2E45, purchased 157,660 ETH (worth $437.82 million) from major crypto firms like Galaxy Digital, FalconX, and Wintermute through over-the-counter (OTC) trades.
Another wallet, 0xd7CF, also believed to be associated with Bybit, acquired 109,033 ETH (worth $304.12 million) from both decentralized (DEXs) and centralized exchanges (CEXs).
Bybit has wasted no time bouncing back. In a recent tweet, CEO Ben Zhou confirmed that the exchange has successfully restored the entire $1.4 billion in stolen Ether from the Feb. 21 hack.
To reassure users, Bybit plans to release a new proof-of-reserves report, verified through a Merkle tree system. This report will confirm that all customer assets are securely backed at a 1:1 ratio, ensuring full transparency and safety.
Ethereum initially rebounded 6% after Bybit’s recovery efforts. However, as the new week begins, ETH has slipped 2% and is now trading around $2,730.
If the decline continues, ETH could test its next support level at $2,450.
Meanwhile, the daily Relative Strength Index (RSI) is at 46, indicating a bearish trend. It was rejected at the neutral 50 level on Sunday and is now moving downward.
On the upside, if ETH regains momentum, it could make another attempt to break past $3,000.
Bybit has plugged the hole, but the true test will be whether trust in the exchange can hold firm.
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