“Bybit is Solvent even if this hack loss is not recovered”, reassures CEO Zhou

• Bybit CEO has claimed that all funds are SAFU and that the exchange would continue operations as usual
• While the hack has been confirmed, the exchange is yet to provide a statement on the exact amount lost to the hack
• As per statement by blockchain investigator – ZachXBT, the hack might have resulted in a loss of over $1.4 billion

Crypto exchange – Bybit – has made headlines for becoming the victim to one of the biggest hacks so far this year. According to ZachXBT – blockchain investigator, the exchange might have lost nearly $1.46 billion in Ethereum. And, despite the massive loss, the co-founder and CEO of the exchange – Ben Zhou has taken to social media to assure the users of the exchange that all is well. In a post made on X, Zhou said,

“Bybit is Solvent even if this hack loss is not recovered, all of clients assets are 1 to 1 backed, we can cover the loss.”

Business as usual for Bybit

Notably, the hack was confirmed as soon as speculations of the incident started making turns on X. In a post, the Singapore-based crypto exchange said that it had “detected unauthorized activity” in one of their ETH cold wallets. The exchange further explained the hack that unveiled on the platform by stating,

The incident occurred when our ETH multisig cold wallet executed a transfer to our warm wallet. Unfortunately, this transaction was manipulated through a sophisticated attack that masked the signing interface, displaying the correct address while altering the underlying smart contract logic. As a result, the attacker was able to gain control of the affected ETH cold wallet and transfer its holdings to an unidentified address.”

Furthermore, Bybit also claimed that it would be business as usual for the exchange, stating that “all funds are safe, and our operations continue as usual without any disruption.” The exchange has also assured that it would provide users with constant updates by claiming that “transparency and security remain our top priorities”.

Moreover, the CEO has also stated that the exchange’s withdrawals would continue to function normally. Notably, while the exchange has confirmed the hack, it is yet to release an official statement on the exact amount and the cryptos lost to the hack. Zhou said,

“Bybit Hot wallet, Warm wallet and all other cold wallets are fine. The only cold wallet that was hacked was ETH cold wallet. ALL withdraws are NORMAL.”

Additionally, Safe – a non-custodial wallet operating on Ethereum – announced that it’s security team was working alongside Bybit’s team on the ongoing investigation. They have stated that they have not “found evidence that official Safe frontend was compromised.” But, given the situation, they would be temporarily pausing certain functions of Safe Wallet.

According to CoinMarketCap, Ethereum (ETH) did not register a massive change in its price. At press time, the coin was trading at $2681 with a market cap of $323.27B. The coin has seen a downtrend of 2.62% in the last hour and a a fall of nearly 2% in the past 24-hour chart.