Ben Zhou, Co-Founder and CEO of Bybit revealed that the Exchange received over 350,000 withdrawal requests since yesterday when it lost $1.46 billion to a hack.
Bybit completed an impressive 99% of the said withdrawal requests with over 2000 requests pending at the time of the report.
Ben Zhou shared the information on his X page, which has been the go-to channel for real-time updates since the crisis.
The CEO in the thick of things described the hack as the worst hack in the history of any medians. He revealed that the Bybit team had worked overnight to manage the crisis effectively.
Ben urged Bybit users who have successfully withdrawn their money to share their stories and comment under his X post. This would obviously help calm nerves and diffuse the FUD building up in the industry following the hack.
Bybit’s Validates Claims of Solvency
Yesterday few minutes after the hack, Bybit’s CEO assured the public that there was no cause for alarm.
He stated that the platform is solvent and all assets are backed 1:1. He revealed that Bybit can comfortably handle losses and that all user funds lost can be paid back easily.
Ben’s claims were countered by cynics who retorted that Sam Bankman Fried of FTX said the same thing when the Exchange collapsed.
Bybit’s CEO’s claim of Solvency has been proved right. Since the hack, the Exchange has processed over 300,000 withdrawal requests, leaving only 2000 pending.
In crypto, Solvency refers to an entity’s ability to meet its financial obligations and ensure that its assets exceed its liabilities. It indicates whether a crypto exchange, lending platform, or stablecoin issuer can cover customer withdrawals and debts without becoming insolvent.
FTX Exchange became Insolvent in 2022 when it could no longer fulfill the withdrawal requests of its users, fast-tracking the collapse of the Exchange.
Former Binance CEO Changpeng Zhao hailed the transparency of Bybit’s founder throughout the crisis following the Hack. He claimed its a sharp contrast from what the industry witnessed with FTX collapse and WazirX Hack.
