Bybit Suffers $1.5 Billion Hack, Ethereum Price Drops

In Brief:

Bybit lost over $1.46 billion in ETH after attackers compromised its cold wallet security.

Ethereum’s price fell by 3% as the stolen assets were liquidated.

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Crypto exchange Bybit has reportedly suffered one of the largest hacks in crypto history, losing 401,346 ETH ($1.13 billion) from its cold wallets. Bybit CEO Ben Zhou confirmed that hackers tricked the security system, making wallet signers approve a malicious smart contract update that transferred all ETH to an unknown address.

Blockchain security experts have compared this to previous major exchange hacks, calling it one of the most sophisticated exploits ever recorded. The Ethereum market reacted immediately, dropping 3% as the stolen ETH was sold off.

Bybit has assured users that all other funds are secure, and withdrawals remain operational. However, concerns over exchange security have resurfaced, with traders urged to move funds to self-custody wallets.

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