Worst Hack in Crypto History?

A recent hack at the Dubai based crypto exchange, Bybit has been described as "worst hack in history", with approximately $1.5 billion (£1.1 billion) in digital assets stolen.

This incident surpasses previous records, such as the $625 million Ronin Network hack in 2022.

The breach involved unauthorized access to an Ethereum cold wallet during a routine transfer process.

In spite of the significant loss, the exchange assures that all client funds are safe and backed on a one-to-one basis, with operations continuing normally.

The firm is working with forensic experts to trace the stolen funds and mitigate further damage.

Bybit used "Blind Signing," which allowed them to approve transactions without revealing all details, and manipulated the transaction interface to alter smart contract logic.

This enabled unauthorized access to the cold wallet, allowing hackers to move funds into an unknown address and then distribute them across multiple wallets for laundering.

The attack is suspected to involve advanced phishing techniques and social engineering. This incident highlights the increasing scale and sophistication of crypto hacks, with larger sums being targeted over time.

As announced by the CEO Ben Zhou, Bybit plans to release a full incident report and implement enhanced security measures in the coming days.

The exchange is working with external blockchain forensic experts to investigate the incident and trace the stolen funds.

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