A suspected hacker has compromised approximately $1.4 billion from cryptocurrency exchange Bybit, moving large amounts of Ethereum (ETH) and staked Ethereum (stETH) from the platform’s hot wallet to a newly identified address. The breach, which was first detected on-chain, raises concerns about the security of Bybit’s funds, though the exchange’s withdrawals remain active despite increased user demand.
According to blockchain data, the compromised wallet (0x1db92e2ee) transferred funds to a new address (0x47666Fab). The hacker appears to be executing multiple transactions, moving 10,000 ETH per address. Additionally, $200 million in Tether (USDT) was transferred from Bybit’s cold wallet to its hot wallet within 30 minutes, though it remains unclear whether this was related to user withdrawals or a potential ETH buyback.
Bybit’s Reserves and Market Impact
Despite the scale of the breach, the stolen funds account for only 8.64% of Bybit’s reported $16.2 billion in reserves, suggesting the exchange has sufficient liquidity to absorb the loss. Bybit has yet to release an official statement on the incident, but its withdrawal services remain operational.
The market reacted briefly to the hack, with ETH prices dropping 3% before recovering. The hacker continues to move funds across multiple wallets, likely in an attempt to obscure the trail of stolen assets.
ℹ️ℹ️ Updated:
— Spot On Chain (@spotonchain) February 21, 2025
– A hacker has compromised $1.4B.
– The hacker is making large transfers of 10K ETH per address right now.
– At least $200M $USDT was moved from Bybit’s cold wallet to its hot wallet in the past 30 minutes —unclear if it’s for user withdrawals or an ETH buyback.… https://t.co/RNP9xMTUIB pic.twitter.com/0AiqmUMm0a
Ongoing Investigation and Security Concerns
The breach highlights ongoing vulnerabilities in cryptocurrency exchange security, particularly concerning hot wallets, which remain online and are more susceptible to attacks. Blockchain analysts and security experts are tracking the hacker’s transactions, while Bybit users remain on high alert for potential disruptions.
Further updates are expected as the situation develops, with the crypto community closely monitoring how Bybit handles the aftermath of one of the industry’s largest recent security breaches.
