Following a startling $1.4 billion security breach that rocked the bitcoin sector, Bybit has effectively restored over half of its Ether (ETH) assets.
The attack on the exchange on February 21 resulted in the theft of liquid-staked Ether, Mantle Staked ETH, and other ERC-20 tokens. This incident was among the biggest crypto hacks in past times. But based on statistics from CryptoQuant, Bybit recovered about half of its Ether assets two days following the hack.
Bybit’s reserves at attack time decreased from 439,000 ETH to barely 61,000 ETH. Currently, the exchange has about 201,600 ETH and brings reserves back to 45% of pre-hack levels.
Bybit’s direct market purchases have contributed significantly to the recovery. Based on the blockchain analysis tool Lookonchain, the exchange has bought 106,498 ETH—worth about $295 million—through OTC deals since the hack.
The crypto sector has also significantly stabilized Bybit. Leading exchanges and business leaders made emergency contributions including 50,000 ETH from Binance, 40,000 ETH from Bitget, and 10,000 ETH from HTX Group co-founder Du Jun.
Bybit’s capacity to replenish its reserves and let user withdrawals shows great investor trust even with the large security incident. In the first ten hours after the incident, the exchange handled 350,000 withdrawal requests, efficiently filling 99.9% of them.
Bybit obtained around $390 million in emergency cash by industry loans and transfers, therefore improving its financial situation. As reported by Lookonchain, the sum comprises $53 million from a single whale wallet and $127 million from Binance-linked whales.
DeFiLlama data shows that Bybit’s overall asset worth declined by roughly $5.3 billion as a result of the attack notwithstanding these initiatives. But an independent proof-of-reserve (PoR) audit in Hacken confirmed that Bybit’s reserves still exceed its liabilities. This means that user money is safe.
Together with industry-wide support, Bitcoin’s quick rebound shows the crypto sector’s fortitude even in the face of major cyber dangers.
