The Bybit hacker has successfully laundered more than 50% of the $1.4 billion worth of stolen Ethereum in less than a week.
According to blockchain analytics firm Spot On Chain, the hacker laundered approximately 266,309 Ethereum, valued at about $614 million, at an average rate of 48,420 ETH per day.
The U.S. Federal Bureau of Investigation (FBI) has linked the hack to North Korean state-sponsored hackers, part of a broader series of cyberattacks attributed to them.
Bybit has taken measures to track and recover the stolen funds, and collaborating with other platforms to freeze suspicious transactions.
Despite these efforts, the rapid laundering of such a large amount highlights the challenges in tracing and recovering stolen crypto assets.
Following the hack, Ethereum's price dropped by nearly 4% due to investor anxiety over security vulnerabilities in the industry.
The price rebounded briefly but continued to experience volatility as market sentiment shifted based on talks about Bybit's response and potential selling pressure from the hacker.
The hack contributed to a bearish sentiment in the Ethereum community, exacerbated by existing internal controversies. It also highlighted security risks in the crypto space, potentially eroding investor confidence in exchanges and the broader market.
This incident is expected to attract significant regulatory attention, which could lead to stricter anti-money laundering (AML) and know-your-customer (KYC) regulations for exchanges. It serves as a reminder of the ongoing risks faced by crypto exchanges and the need for enhanced security measures to protect user assets.
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This hack put the dexes like Thorchain and Maya in a akward position.