Last week, cryptocurrency exchange Bybit reported that hackers had stolen approximately $1.5 billion in digital tokens, deemed the largest crypto heist ever. This significant breach involved the theft from a cold wallet, which is typically stored offline for enhanced security. Experts from the blockchain research firm Elliptic classify this incident as not only the biggest in crypto but also liken it to the most considerable theft recorded across all categories. The continuing wave of hacks in the crypto space has prompted increasing scrutiny regarding the safeguarding of user funds, particularly with hacking incidents in 2024 surpassing $2 billion.
The hack underscores vulnerabilities in the burgeoning decentralized finance (DeFi) sector, where users lend, borrow, and save in digital tokens, bypassing traditional gatekeepers of finance.
Bybit CEO Ben Zhou stated that the crypto was taken from a 'cold wallet,' typically seen as more secure by being stored offline for ether tokens.
Elliptic, a blockchain research firm, noted the hack was not only the biggest crypto theft but also may be the largest theft of any kind ever.
The crypto industry experienced thefts exceeding $2 billion in 2024 alone, marking the fourth consecutive year with proceeds surpassing $1 billion.
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