On Feb. 21, 2025, ByBit was hacked in what is known as the largest digital heist in history, losing $1.5 billion worth of ETH. The Dubai-based crypto exchange known for its heightened security features, offered a 10 percent bounty of recovered funds in an attempt to retain the lost assets.
Reporters at Arkham Intelligence identified the Lazarus Group, a North Korean group known for large-scale crypto theft, to be behind the hack, spreading the funds across 53 wallets. ByBit has announced it is working with local law enforcement and blockchain forensic experts to locate the exact location of the funds.
CEO Ben Zhou reassured the public that while the heist was the largest in history, ByBit users should not be worried about losses, as its clients’ assets are backed 1-to-1. Despite Zhou’s attempt to reassure its clients, there were approximately 350k withdrawal requests within 10 hours of the hack. By successfully completing every withdrawal within 12 hours of the crisis, ByBit demonstrates that its platform remained functional under company stress.
Leading players of the ecosystem are standing by ByBit – Gems Trade, a next-gen regulated cryptocurrency centralized exchange (CEX) designed to offer a seamless, secure, and user-friendly experience for traders of all levels, shared its statement on X, standing with ByBit through its current challenges. In the announcement, Gems emphasizes that as an industry leader, it trusts that ByBit will overcome the current obstacles with resilience.
Gems Trade is preparing for the launch of its new exchange platform, in its post, the company referred to the delay mentioning that it is due to the high emphasis on security.
Gems Trade has partnered with Fireblocks, an enterprise platform to manage digital asset operations and build innovative businesses on the blockchain, to ensure its security exceeds industry standards, improving reliability for customers. Each Gems Trade wallet will be secured by Fireblocks, ensuring that users can trade with confidence. Fireblocks will be providing top-to-bottom cybersecurity, safeguarding funds from internal and external threats, and emphasizing the importance of security amidst the largest crypto hack ever. The partnership underscores the proactive measures that Gems Trade is implementing to safeguard against potential threats, ensuring hacks similar to ByBit are effectively prevented.
The exchange platform is now in the final stages of development and is expected to be launched shortly.
