February 27, 2025
By Anjali Kochhar
Cryptocurrency exchange Bybit has announced that it has fully restored a 1:1 ratio of customer assets after suffering a record-breaking US$1.4 billion Ethereum hack on 21 February 2025. The company released an audited report confirming the recovery, which was conducted by cybersecurity firm Hacken and published on 23 February 2025. The audit verified that Bybit holds sufficient reserves to cover all user assets across 40 different cryptocurrencies, including Bitcoin, Ethereum, Solana, USDT, and USDC.
To ensure full transparency, Bybit employed Merkle tree verification and blockchain transaction analysis to confirm asset ownership and liabilities. Despite the scale of the attack, the exchange managed to replenish its reserves within 72 hours, demonstrating its resilience in handling security challenges.
In an effort to retrieve the stolen funds, Bybit is offering cybersecurity experts and analysts a bounty of up to 10% of any recovered amount, which could reach as high as US$140 million. This initiative is part of a broader strategy to strengthen security measures and prevent future breaches.
Ben Zhou, CEO of Bybit, reassured users of the exchange’s commitment to safeguarding their assets. He stated, “Bybit fully backs all customer assets entrusted to our platform, maintaining a dynamic ratio of over 1:1. We are fortunate to have all-weather friends in a cut-throat industry, our peers and even competitors stood with us during challenging times, and our customers deserve the same level of commitment.”
To close the Ethereum asset gap, Bybit collaborated with major industry players, including Galaxy Digital, FalconX, and Wintermute. Additional support from firms such as Bitget, MEXC, and DWF Labs played a crucial role in stabilizing the platform’s reserves.
Bybit’s rapid response, strategic partnerships, and transparent auditing process highlight its resilience in the crypto industry. Despite facing one of the largest hacks in crypto history, the exchange has demonstrated its ability to restore customer confidence, ensuring that all user funds remain protected.
About the author
Anjali Kochhar covers cryptocurrency and blockchain stories in India as well as globally. Having been in the field of media and journalism for over four years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.
