Lazarus Group Successfully Laundered Bybit’s Stolen Funds Using THORChain

The recent Bybit hack, which saw a staggering $1.5 billion in Ethereum tokens stolen, has taken another twist as the blockchain analytics platform Arkham Intelligence confirmed that the Lazarus Group has successfully laundered all the unfrozen funds. The group swiftly converted 500,000 ETH into BTC mainly through THORChain's DEX, resulting in over $5.5 billion in processed volume since the hack on February 21st.

Criticism has been mounting within the community, with some users pointing fingers at THORChain validators for negligence in allowing the transactions to occur unchecked. On the other hand, defenders argue that THORChain is fundamentally decentralized and not equipped to act as a law enforcement agency.

Bybit CEO Ben Zhou disclosed that 83% of the stolen funds had been converted to Bitcoin just yesterday, and now the entire sum has been processed. The majority of these conversions took place through THORChain, causing a substantial spike in the network's 24-hour trading volume.

Amidst the chaos, questions have been raised regarding the role of decentralized platforms in facilitating such criminal acts. While some stress the vulnerabilities in decentralized systems, others defend the principles of freedom and decentralization. The fallout from this incident is likely to haunt THORChain for years to come, impacting its reputation and potentially signaling the need for greater oversight in the decentralized finance realm.

In the end, as the dust settles on this complex web of events, the focus remains on the implications for security and accountability within the decentralized finance landscape.