Two weeks after the Bybit hack, the exchange has managed to trace a portion of the stolen funds, while some remain in the dark.
Current Status of Stolen Funds
According to Bybit CEO Ben Zhou, about 3% of the stolen funds have been frozen, while 20% remain untraceable. Of the total hacked funds, approximately $1.4 billion, 77% are still traceable. A significant portion of the stolen 500k ETH has been converted into BTC, with the funds being split into thousands of new wallets.
Risks at Non-KYC Exchanges
Most of the dark funds were sent to non-KYC exchanges like eXch, which received inflows from the hacker immediately after the attack. Meanwhile, bounty hunters such as Mantle have managed to recover some of the funds.
Technical Aspects of the Hack and Tracking Efforts
Following the hack, all ETH was swapped through THORChain for other cryptocurrencies. THORChain is cooperating with Bybit in efforts to track addresses related to the hack. Elliptic has been actively implementing automated transaction monitoring, successfully intercepting a portion of the funds.
The Bybit hack highlighted both vulnerabilities and the uncertain potential for tracking cryptocurrency operations, with joint efforts partially recovering the funds.
