Security experts have linked the North Korean Lazarus Group to a record-breaking $1.4 billion hack of cryptocurrency exchange Bybit, one of the greatest crypto heists ever.
The Bybit breach broke the record for the amount of damage in the cryptocurrency business and became the most important attack in human history. According to blockchain analytics firm Arkham, the attack was most likely carried out by the North Korean state-sponsored hacker outfit.
ZachXBT, a pseudonymous blockchain investigator, discovered linkages between the wallets used in the assault and prior attacks claimed by Lazarus. Consequently, Arkham offered ZachXBT a $50,000 reward for his findings.
Lazarus Group has been responsible for several high-profile cyber heists in recent years, notably the $600 million Ronin Network attack in 2022. US law enforcement authorities have long accused North Korea of funding its dictatorship through crypto-related cybercrimes.
While ZachXBT has yet to share comprehensive data, he did indicate that he and a colleague discovered North Korean participation by tracking wallet activity.
The identical addresses were purportedly tied to a $85 million hack of Phemex, a Singapore-based cryptocurrency exchange, last month. Phemex also experienced a $73 million attack in January, highlighting Lazarus’ persistent involvement in the sector.
According to Chainalysis, North Korean-linked cybercriminals stole $1.34 billion in cryptocurrencies in 2024, accounting for 61% of all illegal crypto-related crimes that year.
Hackers Take 70% of Bybit’s Ether Holdings in Cold Wallet Breach
The Bybit incident, which happened early Friday, involved a hacker gaining access to the exchange’s cold wallet, a storage mechanism regarded as more secure than online options.
An unnamed wallet received more than 401,000 Ether, worth $1.4 billion at the moment. Bybit CEO Ben Zhou said that the stolen sum amounted to around 70% of the exchange’s Ether holdings. Zhou reported that the exchange has acquired a bridging loan from “unnamed partners” to repay about 80% of the Ether stolen in the theft.
Bybit has reported the hack to authorities and is working with blockchain analytics firms to trace down and isolate the stolen assets. The corporation is striving to prevent hackers from cashing out on legitimate markets, but efforts to recover the stolen money are questionable.
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