Hackers successfully laundered 499,000 ETH stolen from Bybit using complex schemes and platforms without KYC.
Confirmation of North Korean Involvement
The FBI confirmed North Korean-linked hackers were responsible for the Bybit heist. In an official statement, the agency stated that the attack on February 21, 2025, was carried out by TraderTraitor. They partially converted the stolen ETH into Bitcoin and other cryptocurrencies, distributing funds across thousands of addresses.
How the Hack Happened
The hack occurred during the transfer of Ethereum from an offline 'cold' wallet to a 'warm' one. Hackers exploited security vulnerabilities, transferring the funds to an unknown address. Bybit's CEO Ben Zhou assured users their assets are safe and guaranteed covering of any losses with potential loans from partners.
Efforts to Recover the Funds
Bybit is trying to recover the stolen ETH with the help of cybersecurity experts and blockchain analysts, offering a 10% reward on recovered assets. The FBI and analytics firms like Elliptic and TRM Labs have identified over 11,000 wallet addresses linked to the hack.
The incident has heightened concerns about North Korean operations in the crypto sector. The FBI and other organizations are calling for blocking transactions tied to the stolen assets.
