Ben Zhou, CEO of cryptocurrency exchange Bybit, addressed rumours of the platform being hacked and insolvent in a post on X on May 23.
The previous day, speculation about Bybit’s insolvency spread on X, fueled by memes imitating a popular post about FTX. This time, the posts targeted Bybit, causing concern among users.
As the rumours circulated, some users joked about withdrawing their funds while others sought more information. A cryptocurrency user speculated that a bug in a proof-of-reserves graph from Arkham Intelligence might have triggered the rumours.
“This is FALSE news. It’s bybit. There is a bug in the@ArkhamIntel proof of reserves graph that is likely causing the rumour. if u check their wallets individually u can easily prove the graph is broken”,
he noted.
The graph appeared to show Bybit’s wallets being drained, raising fears of a hack or insolvency. However, an independent review of the wallets confirmed that the funds were still intact.
On May 23, Bybit officially denied the rumors. Zhou posted on X, stating,
“None of the rumours that I have seen so far have any real facts supporting it, please be aware.”
“Hearing some rumours about Bybit being insolvent or hacked and etc. Please note that we have updated our POR this month as well as you can view all Bybit wallet through Nansen (Total more than 11B) . None of the rumours that I have see so far have any real facts supporting it, Please be aware”,
He also shared a link to Bybit’s proof-of-reserves (PoR) and a Nansen dashboard displaying all Bybit wallets and assets.
The PoR indicated that Bybit holds more than 100% of user assets, ensuring user funds are available for withdrawal if needed.
The Nansen dashboard showed Bybit’s wallets containing over $11 billion in crypto assets. According to Nansen, the net worth reflects the total value of tokens in Bybit’s provided addresses.
However, Nansen noted that this data should not be taken as a comprehensive statement of Bybit’s actual assets or reserves.
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