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Bybit CEO Ben Zhou confirmed that the exchange has restored Ethereum reserves after a $1.4 billion security breach. Bybit will release an updated proof-of-reserves report showing client assets are now 1:1. The exchange replenished reserves through OTC purchases, whale deposits, and loans. Recovery efforts include a 10% bounty program and freezing stolen funds. Hackers are laundering stolen funds using techniques resembling the Lazarus Group, but efforts to block transactions are ongoing.
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