Bybit Market Share Plummets After Security Breach
Bybit, a major crypto exchange, has seen a significant decrease in market share following a $1.5 billion security breach in February.
Market Share Plummet
Data from Kaiko shows that Bybit’s market share dropped from nearly 20% on Feb. 21, the day of the attack, to as low as 5% on March 2. However, the exchange has seen a slight improvement to 9.04% as of March 9.
Beneficiary of the Situation
Binance emerged as the biggest beneficiary, with its market dominance surging to 62% immediately after the breach. However, it has since declined to around 50%.
The Hack
On Feb. 21, hackers took advantage of vulnerabilities in Bybit’s cold wallet system, executing the largest exchange heist to date. They managed to drain $1.5 billion in Ethereum, highlighting weaknesses in the platform’s security framework.
Authorities and blockchain analysts are currently working to trace and recover the stolen assets from the North Korean Lazarus Group, a cybercriminal organization known for advanced laundering tactics.
Laundered Funds
Blockchain analytical firm Elliptic suggests that at least $300 million of the stolen funds have already been laundered, making it challenging to reclaim the assets.
