In what is being described as the largest cryptocurrency heist in history, hackers have stolen $1.5 billion from the popular crypto exchange Bybit. The breach, which occurred on February 20, 2025, has sent shockwaves through the crypto industry, raising concerns about the security of digital assets and the vulnerability of centralized exchanges.
According to Bybit’s official statement, the hackers exploited a vulnerability in the exchange’s hot wallet system, gaining access to a significant portion of its funds. The stolen assets include Bitcoin, Ethereum, and other major cryptocurrencies. Bybit has temporarily suspended all withdrawals and deposits while it investigates the breach and works with cybersecurity experts to recover the stolen funds.
The incident has reignited debates about the safety of centralized exchanges versus decentralized platforms. “This heist underscores the risks of holding large amounts of crypto on centralized exchanges,” said a blockchain security expert. “Users must prioritize self-custody and decentralized solutions to protect their assets.”
Bybit has assured users that it will cover the losses using its insurance fund and reserves. However, the exchange’s reputation has taken a significant hit, and its native token, BYB, has plummeted by over 30% following the announcement.
Regulators worldwide are now calling for stricter security measures and oversight in the crypto industry. The U.S. Securities and Exchange Commission (SEC) has announced plans to introduce new guidelines for crypto exchanges to prevent similar incidents in the future.
