by | April 22, 2025 4:30 pm | Press Release | 0 comments
In a digital heist that shocked the crypto world, over $380 million from February’s historic $1.4 billion Bybit hack has vanished without a trace.
North Korea’s Lazarus Group, the alleged mastermind, funneled funds through a maze of mixers, bridges, and anonymous platforms leaving investigators scrambling. As authorities grapple with the fallout, questions mount: Where did the money go? Can it be recovered? Here’s what we know.
On February 21, 2025, hackers infiltrated Bybit’s Ethereum cold wallet, siphoning 500,000 ETH valued at $1.4 billion. The breach, attributed to North Korea’s Lazarus Group, exploited a routine transfer through social engineering.
Signers approved a malicious “masked transaction,” granting access to the wallet. Within hours, ETH prices dropped 4%, and panicked users flooded Bybit with 350,000 withdrawal requests. CEO Ben Zhou swiftly reassured customers, pledging solvency with $20 billion in reserves and emergency loans to cover losses.
Bybit’s latest update reveals 27.59% of stolen funds $380 million have gone dark. Forensic reports detail a laundering spree: First, mixers like Wasabi obscured the ETH trail. Next, cross-chain swaps via Thorchain converted 84.45% to Bitcoin.
Finally, funds splintered into 35,772 wallets, each holding just 0.28 BTC. “Mixers erase footprints,” Zhou explained. “Once funds hit P2P or OTC platforms, they’re ghosted.” Remaining traces linger in 12,490 Ethereum wallets, totaling $16.77 million a mere 1.17% of the loot.
The exchange launched a $140 million bounty program days after the hack, offering rewards for tracking stolen assets. So far, 5,443 tips led to 70 valid reports 19 hunters secured $4.3 million for freezing $42 million.
Blockchain firms like Elliptic and Chainalysis identified 11,000 suspect wallets. “We need mixer decoders urgently,” Zhou admitted. Collaborating with the FBI, Bybit aims to freeze remaining traceable funds $960 million before they dissolve.
Lazarus, linked to $6 billion in crypto thefts since 2017, executed this heist with military precision. Within 10 days, 100% of funds were laundered a record pace. Automated tools and shift-based teams converted ETH via decentralized exchanges (DEXs) like eXch, dodging freezes. Analysts note their tactics mirror past strikes: social engineering, code injection, and rapid cash-outs. Experts warn proceeds likely fund North Korea’s missile programs, cementing Lazarus as a state-sponsored financial weapon.
The hack exposed glaring vulnerabilities. Cold wallets, once deemed ironclad, proved susceptible to insider deception. Mixers and anonymous platforms like Tornado Cash further complicate recovery, sparking calls for stricter regulation. Meanwhile, ETH’s price dip and user exodus underscored market fragility. “This isn’t just a hack; it’s a wake-up call,” said cybersecurity firm Cyvers. Proposed fixes include off-chain validation, which could thwart 99% of similar attacks.
Hope dims for the $380 million. Once laundered through mixers and cashed via OTC desks, funds enter a shadow economy. “Tracking ends at the mixer,” one analyst sighed. Yet, Bybit’s bounty hunters and FBI partnerships offer slivers of optimism. If Lazarus attempts to liquidate traceable BTC through regulated exchanges, seizures could follow. However, experts concede most vanished millions may already fuel Kim Jong Un’s arsenal, untouchable and forever dark.
The Bybit heist redefines cybercrime scale, blending tech savvy and state resources. While $53 million has been frozen, the Lazarus Group’s success signals urgent needs: tighter security, mixer regulation, and global cooperation. For now, the $380 million ghost train remains a stark reminder that crypto’s future hinges on outsmarting shadows.
Follow Bybit’s official channels and blockchain trackers like Chainalysis for updates. Have tips? The Lazarus Bounty Program still pays.
Disclaimer: “Investments in securities are subject to market risks. Read all the related documents carefully before investing.”
Receiving registration from SEBI and certification from NISM does not assure the performance of the intermediary or guarantee returns to investors in any manner.
Compliance Email: [email protected]
Recognized by:
Reach us out at
For Advertisement, Press Releases, Partnerships or to get backlinks on this website, please e-mail us at [email protected]
For Trade Brains Fintech Excellence 2025 Awards and Nominations contact –
Visit – tradebrainsawards.com/
Chandan Singh Rawat
Emaill: [email protected]
Mob: (+91)8088491790
Bikram Singhary
Email: [email protected]
Mob: (+91)8088491790
