Bybit’s $1.4B in Hacked Crypto Still Largely Traceable
According to a new report on X by Bybit’s Chief Executive Officer (CEO), Ben Zhou, cybersecurity investigators have reported that 77% of an estimated $1.4 billion in stolen cryptocurrency from the Bybit hack remains traceable. 20% has gone dark, and 3% has been frozen. The stolen funds, totaling around 500,000 ETH, were largely converted to Bitcoin, with ongoing efforts to track and freeze them before they are moved through exchanges and peer-to-peer transactions. Majority of Bybit’s $1.4 Billion in Hacked Crypto Traced to Bitcoin Conversions According to Bybit’s CEO report, a significant portion of the stolen assets, approximately 417,348 ETH, valued at nearly $1 billion, was swapped for Bitcoin across 6,954 wallets. Investigators identified THORChain as the primary platform facilitating these conversions, with 361,255 ETH, or 72% of the total, processed through the network. Another 79,655 ETH, representing 16% of the stolen funds, remains unaccounted for after passing through the ExCH platform, which has yet to provide further updates. Additionally, 40,233 ETH, valued at around $100 million, moved through OKX Web3 proxy services. Of this, 16,680 ETH is still traceable, while 23,553 ETH, roughly $65 million, has become untraceable, pending further information from OKX Web3. Efforts to Freeze Funds and Bounty Payouts Authorities and cybersecurity specialists are working to halt further movement of the stolen cryptocurrency, with this week deemed crucial for freezing efforts before transactions clear through exchanges, over-the-counter markets, and peer-to-peer channels. A bounty program has led to the freezing of some stolen funds, with 11 contributors assisting in tracking and stopping transactions. Among them, Mantle, Paraswap, and blockchain investigator ZachXBT played key roles. In recognition of these efforts, $2.18 million in USDT has been distributed to bounty participants. Further details on the investigation and ongoing recovery efforts are available at Lazarusbounty.com, where authorities are coordinating intelligence sharing. Ongoing Investigations and Risks Despite the progress, investigators warn that a substantial portion of the stolen assets could become permanently lost if successfully laundered through various crypto platforms. The case highlights ongoing challenges in tracking illicit cryptocurrency flows, particularly through decentralized finance networks and privacy-focused services.Authorities continue to monitor suspicious transactions and work with exchanges to prevent further laundering of the stolen funds.
