LONDON: Hackers stole approximately $1.5 billion from cryptocurrency exchange Bybit, marking the largest crypto heist in history.
Bybit CEO Ben Zhou confirmed the stolen funds came from a cold wallet, which is typically stored offline.
Blockchain research firm Elliptic stated the hack doubled the previous record for the biggest digital asset theft.
Security experts say the stolen amount is comparable to a significant portion of North Korea’s annual GDP.
Hackers reportedly laundered around $160 million through accounts linked to North Korean operatives over the weekend.
Laundering Process
Crypto-tracing firm TRM Labs confirmed the stolen funds were swiftly moved across multiple digital currency platforms.
Experts say North Korea’s hacking units have significantly boosted the regime’s financial resources.
Former FBI analyst Nick Carlsen called the scale of this heist unprecedented and deeply concerning.
North Korea has relied on hacking operations to evade sanctions and fund its nuclear weapons program.
Officials from the US and South Korea warn of growing cyber threats from state-backed hacking groups.
Bybit’s Response
Despite the massive loss, Bybit assured users that it remains solvent and can cover the stolen assets.
CEO Ben Zhou emphasized that the company is collaborating with regulators and law enforcement agencies.
Bybit has strengthened its security measures to prevent further breaches following this historic theft.
Authorities are actively investigating the methods used by hackers to infiltrate the platform’s security.
Users have been advised to remain cautious and vigilant against potential phishing scams linked to stolen funds.
North Korea’s Role
Security analysts believe North Korea’s elite cyber units were directly involved in the massive crypto theft.
The stolen funds will likely support Pyongyang’s illicit operations, including weapons development and state expenses.
Hackers used a complex system of currency swaps to obscure the origins of the stolen assets.
These stolen cryptocurrencies are eventually converted into US dollars or Chinese yuan.
Experts warn that such cyberattacks will continue to rise, posing serious threats to financial security.
Future Concerns
This incident highlights major vulnerabilities in the crypto industry despite advanced security measures.
Authorities are urging stronger regulations and international cooperation to combat crypto-related cybercrime.
Law enforcement agencies worldwide are working to trace and recover stolen digital assets.
Cybersecurity firms are developing new tools to track illicit financial activities in real-time.
As crypto heists become more sophisticated, the industry must adapt rapidly to prevent future attacks.
