In a major development from the crypto world, Bybit Exchange, a crypto-trading platform, confirmed a hack that purloined USD 1.46 billion, or around RS 12,000 crore, as per current exchange rates, from the platform.
The crypto world, understandably, reacted to this news with pessimism. The exchange’s CEO-co-founder Ben Zhou confirmed the incident and provided an update on the security breach.
This transaction was made from Bybit’s multi-signature wallet to a warm wallet.
Here, a ‘Warm Wallet’ allows peer-to-peer transfers and other blockchain transactions can be carried out using warm wallets, just like with regular wallets. Better security and more robust access limits set it apart from hot wallets.
As according to CoinMarketCap, the crypto markets saw a decline of 1.96 per cent over the last day (at the time of writing).
This led to a meltdown at the crypto market, with many virtual coins struggling in the day’s trade.
Ether
As per the latest available data, Ether dropped in value, slumping to the mark of USD 2,680.04, crumbling by a mammoth 2.46 per cent.
Ether | CoinMarketCap
Bitcoin
Meanwhile, Bitcoin also slumped in value. The biggest cryptocurrency in the world dropped to USD 96,320.80, after a slump of 2.00 per cent in its value.
Bitcoin | CoinMarketCap
Withdrawals Processed
ByBit is currently not available in India.
Responding to this chaos in the market, exchange CEO Zhou tried to pacify the rattled crypto investors. In a post on X he said, “Since the hack (10 hrs ago) , Bybit has experienced the most number of withdraws that we have ever seen, We have had a total number of more than 350k withdraws requests, so far, around 2100 withdraw requests left to be processed.”
“Overall 99. 994% withdrawals have been completed. If your withdraws are completed, please leave a comment here. Although we have been hit by the worst hack possibly in the history of any medians (banks, crypto, finance), But all Bybit functions and product remain functional, the Whole team had been awake all night to process and answer client questions and concerns. ALL hands on DECK. Rest assured, we are here with you.”
Later, he also added, “12 hr from the worst hack in history. ALL withdraws have been processed. Our withdraw system is now fully back to normal pace, you can withdraw any amount and experience no delays. Thanks for your patience and we are sorry that this has happened.”
The Real Work Has Started
“Bybit will come out with full incident report as well as security measurements in the next few days. I will also personally keep you all posted on any new updates. Thanks to all the clients, friends and partners who have helped and supported us during this excruciation 12 hrs. The real work has just now started.”
