The FBI has issued a stark warning to the Crypto Community, urging exchanges, wallet services, and blockchain operators to prevent the laundering of funds stolen in the recent Bybit hack. The attack, attributed to North Korean threat actor TraderTraitor (also known as Lazarus), resulted in a massive $1.5 billion theft.
The agency released a list of Ethereum wallet addresses linked to the hackers and called for vigilance to block transactions associated with them. The stolen funds are reportedly being rapidly converted into Bitcoin and other assets across multiple blockchains.
$400M Laundered Already
Blockchain intelligence firm TRM Labs revealed that around $400 million of the stolen funds had already been laundered, highlighting the alarming speed at which the cybercriminals are operating. “Beyond the sheer scale of the Bybit hack, the speed at which the stolen funds are being laundered is particularly alarming,” the firm stated.
The FBI expects these assets to be further laundered and eventually converted into fiat currency, making it critical for crypto platforms to monitor suspicious transactions.
Safe Wallet Exploit Led to Breach
Wallet service provider Safe confirmed that the hack stemmed from a compromised developer machine, which affected a Safe Wallet account operated by Bybit. In response, Safe has implemented additional security measures to eliminate similar attack vectors in the future.
Meanwhile, Bybit has been working with cybersecurity firms Syngia and Verichains to investigate the breach and enhance its defenses.
Bybit Offers $140M Bounty to Track Stolen Funds
To recover the stolen assets, Bybit has announced a bounty program worth up to $140 million for individuals who can prove they have frozen any of the stolen funds. So far, 12 “hunters” have been rewarded approximately $4.2 million.
The FBI has urged crypto exchanges, DeFi platforms, and RPC node operators to block transactions involving the identified hacker addresses. As authorities and cybersecurity firms continue to track the stolen assets, the crypto community is expected to play a crucial role in preventing further laundering.
