Bybit Enhances Security Through Partnership with Zodia Custody

Bybit Fintech Limited is enhancing its security following a $1.45 billion hack in February 2025, attributed to the North Korean Lazarus Group.

The exchange has partnered with Zodia Custody to offer improved asset storage solutions for clients.

Key Developments

The hack involved nearly $1.5 billion worth of Ethereum.
The new custody solution allows institutional clients to trade on Bybit while keeping assets separately stored with Zodia Custody.
This setup aims to prevent losses from future breaches and reduces risks of holding funds on exchanges.
Zodia Custody's approach ensures segregated assets, minimizing hacking risks and mismanagement.
Off-venue settlement enables clients to maintain their funds in custody until trades are executed, improving capital efficiency.

The partnership signifies a shift in the management of digital asset security towards traditional finance standards.
Zodia Custody adheres to strict security measures, ensuring compliance and safety for institutional investors.
The collaboration reflects a trend among crypto exchanges to adopt stringent security protocols to attract institutional investment.
Continued strengthening of security measures is essential amid ongoing cybersecurity threats in the crypto space.