The Bybit exchange has impressively reclaimed its liquidity to pre-hack levels just 30 days following a major breach in February 2025, during which nearly $1.5 billion was siphoned from the platform. A recent report from crypto research and analytics firm Kaiko confirms that Bitcoin’s market depth—an essential liquidity metric—has rebounded to approximately $13 million per day as of March 2025.
While Bitcoin’s liquidity recovery has been swift, altcoin liquidity on Bybit has seen a more gradual rebound, currently sitting at about 80% of its pre-hack levels. According to the report, this delay can largely be attributed to the broader market’s risk-averse environment, which has affected altcoins more severely than Bitcoin. Despite still being viewed as a risk asset, Bitcoin continues to serve as a safe haven during turbulent market conditions.
Overall trading volumes on the exchange remain in a recovery phase; however, this trend is consistent with the wider market fluctuations and not solely due to the fallout from the hack. Ongoing macroeconomic uncertainties have further added to the volatility impacting risk assets.
Bybit’s Incident Response
The Bybit exchange experienced a severe security breach on February 21, 2025, with a follow-up post-mortem indicating that the hack was the result of a compromised device belonging to a developer at SafeWallet, the company responsible for the multi-signature wallet custody solutions used by Bybit. In a proactive move, Bybit kept withdrawals open throughout the crisis, enabling users to secure their funds without delay.
In the aftermath, CEO Ben Zhou reassured stakeholders about the exchange’s solvency, asserting that Bybit’s reserves were sufficient to cover the mishap, regardless of whether the stolen assets were recuperated. Such transparency and communication fostered solidarity within the crypto community, with various industry competitors offering financial support and technical assistance to Bybit during this tumultuous time.
The recent trends in liquidity and the swift recovery efforts by Bybit exemplify the resilience of the platform and the support of the crypto ecosystem as it collectively navigates through challenges. Companies in the industry are reminded of the critical nature of security measures and the importance of maintaining robust communication channels with their users amidst crises.
