Bybit has successfully transferred nearly $100 million worth of Ethereum back to Bitget, marking a significant step in its recovery following the $1.4 billion hack. On February 24, Bitget received 40,000 ETH—worth approximately $99.98 million at the time of transfer—from Bybit’s cold wallet.
Bitget had loaned the 40,000 ETH to Bybit immediately after the hack, which resulted in the loss of around $1.4 billion in Ethereum. The transfer of funds from Bybit to Bitget is part of a broader effort by the exchange to stabilize and repay the loans it received during the crisis.
Transfer Details and Loan Assistance
On-chain data from Arkham Intelligence reveals that Bybit first moved the 40,000 ETH from its hot wallet to a cold wallet before sending it to Bitget. Additionally, Bybit moved another 47,800 ETH, worth around $118 million, to its cold wallet prior to the transfer to Bitget.
In another notable move, Bybit also sent 3,000 ETH to Binance from a hot wallet, valued at $7.5 million at the time. These transfers highlight Bybit’s ongoing efforts to manage its liquidity and restore stability after the hack.
Ethereum’s Market Trend Amid Recovery
At the time of the transfers, Ethereum had fallen by nearly 9% in the past 24 hours and was trading at $2,489. The second-largest cryptocurrency by market cap has been in a downward trend, losing 7% over the past week and over 25% in the past month.
Bybit’s Road to Recovery
Despite the market’s volatility, Bybit appears to be making significant strides in recovering from the hack. The exchange claims to have fully covered the $1.4 billion loss using a combination of whale deposits, Ethereum purchases, and loans from other crypto firms, including Bitget.
On February 22, just one day after the hack, Bybit received $172.5 million worth of Ethereum in loans to cover customer withdrawals. These loans included 40,000 ETH from Bitget, 12,652 ETH in Lido-staked ETH (STETH) from MEXC, and 11,800 ETH from Binance.
Bybit has already begun repaying these loans, and on February 24, CEO Ben Zhou stated that the exchange would soon release an audited report to confirm that Bybit is “100% 1:1 on client assets.”
The Hacker’s Activity: Lazarus Group Linked to Laundering
However, while Bybit works to recover from the hack, there are concerns about the stolen funds. According to Arkham Intelligence, the hacker, believed to be the notorious Lazarus Group, has started laundering the stolen Ethereum. Wallets associated with the hacker have been making two to three transactions per minute, moving the funds from one address to another in an effort to obscure their origin.
Despite these ongoing challenges, Bybit’s swift recovery and repayment efforts signal that the exchange is actively managing the aftermath of one of the largest crypto hacks in history.