FBI Confirms $1.5 Billion Crypto Theft by North Korean Hackers from ByBit

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In one of the biggest crypto heists ever! North Korean hackers have stolen a staggering $1.5 billion from ByBit, one of the world’s largest cryptocurrency exchanges, according to the FBI’s official statement. This marks one of the biggest crypto hacks in history, nearly doubling what North Korea stole in digital assets last year.

Calling this heist a “TraderTraitor” FBI has requested all blockchain service providers, Defi services, exchange bridges to block any transaction in this name as they are constantly trying to convert these stolen assets into fiat currencies. Though they were successful in creating some of the funds into Bitcoin.

How the Hack Happened and Where’s the Fund?

ByBit, which serves over 60 million users and ranks as the world’s second-largest cryptocurrency exchange, confirmed the attack last Friday. The attack happened when the Safe dev’s device was compromised, allowing attackers to inject malicious code into the front-end and alter transaction parameters.

The exchange said an attacker gained control of an Ether cold wallet and transferred its holdings to an unknown address. CEO Ben Zhou assured users that all other wallets remained secure, withdrawals continued as normal, and client funds were unaffected. The company is now working with forensic experts to track the stolen funds.

The attack reportedly took place in minutes, with hackers making off with an amount nearly equivalent to North Korea’s annual GDP. By the weekend, about $160 million of the stolen assets had already been funneled through accounts linked to North Korean operatives, according to blockchain analytics firm TRM Labs.

The firm noted that this single hack nearly doubled the total amount stolen by North Korea from crypto platforms last year.

North Korea’s Growing Cyber Crimes

North Korea has a long history of stealing crypto to fund its regime. The FBI’s latest findings confirm that the country continues to rely on cyber theft as a major financial source.

ByBit, which serves over 60 million users, is now working with forensic experts to investigate the breach. Meanwhile, security experts warn that as long as crypto remains a valuable asset, North Korea’s cyber army will continue targeting major exchanges.