The ByBit Heist and the Future of U.S. Crypto Regulation
On February 21, 2025, a group of hackers from North Korea pulled off the largest cryptocurrency heist in history after stealing $1.5 billion in Ethereum tokens from the Dubai-based cryptocurrency exchange ByBit. The hackers exploited a free storage software product that ByBit used to move Ethereum to another location, most likely coupled with phishing attacks to access control and download malware. It is estimated that at least $160 million of the funds stolen from ByBit were laundered within the first 48 hours of the attack. Although ByBit does not offer services or products in the United States, the hack’s ripple effects hurt the global crypto market. The price of Bitcoin experienced a 20 percent drop from its all-time…
