The hacker behind the Bybit exploit has successfully laundered 100% of the stolen $1.4 billion in just ten days.
The hack happened on February 21 and is now considered the biggest crypto theft ever in history. The hacker took over 500,000 ETH and other tokens, moving them through THORChain, a decentralized exchange that lets people swap crypto across different blockchains.
“The #Bybit hacker has laundered all the stolen 499,395 $ETH ($1.04B currently), mainly through #THORChain,” blockchain security firm Lookonchain reported in a recent post on X. This is $360 million short of the actual $1.4 billion that was stolen, but due to the recent drop in Etheruem’s price, the price of the fund that was stolen dropped as well.
On the day of the hack, Ethereum was trading at an intraday high of $2,839, but it now trading for $2,067 after a 23% drop in value, according to data from CoinMarketCap.
Most cyber criminals use THORChain because it allows them to move money without centralized control.
Many experts believe North Korea’s Lazarus Group is behind the attack. This group has been linked to multiple crypto hacks in the past. In fact, South Korea recently sanctioned 15 North Koreans for allegedly funding the country’s nuclear weapons program through cyber theft.
Despite the hackers’ attempts to cover their tracks, blockchain security firms believe that some of the stolen funds could still be traced and recovered.
“While laundering through mixers and cross-chain swaps complicates recovery, cybersecurity firms leveraging on-chain intelligence, AI-driven models, and collaboration with exchanges and regulators still have small opportunities to trace and potentially freeze assets,” said Deddy Lavid, co-founder and CEO of Cyvers.
Bybit CEO Ben Zhou confirmed earlier today that about 77% of the stolen money could still be tracked, but more than $280 million had completely disappeared. Only 3% of the funds have been frozen so far.
However, Bybit acted fast and managed to replace all $1.4 billion worth of stolen crypto by February 24, just three days after the attack. The company assured customers that withdrawals were still working as usual.
Crypto security firms are now looking for ways to stop similar attacks in the future. One possible solution is off-chain transaction validation, which could block 99% of crypto hacks before they happen.
Also Read: Bitcoin Price Retreats to $84K with 9% Drop in Last 24 Hours
