Bybit CEO Ben Zhou Denies Insolvency Rumors

Ben Zhou, CEO of cryptocurrency alternate Bybit, has addressed circulating rumors in regards to the platform’s hacking and insolvency.

He denied all insolvency rumors and shared proof of Bybit’s monetary holdings and crypto property.

Bybit CEO Shares Proof-of-Reserves

In a Could 23 X publish, Zhou denied the allegations, asserting that they don’t have any factual foundation.

“Not one of the rumours that I’ve seen to date have any actual details supporting it. Please remember,” Zhou wrote.

listening to some rumours about Bybit being bancrupt or hacked and and many others. Please notice that we’ve got up to date our POR this month in addition to you possibly can view all Bybit pockets by way of Nansen (Complete greater than 11B). Not one of the rumours that I’ve see to date have any actual details supporting it,…

— Ben Zhou (@benbybit) Could 23, 2024

Zhou additionally shared a hyperlink to Bybit’s proof-of-reserves (PoR) and a Nansen dashboard. These assets present a clear view of Bybit’s monetary holdings and the full worth of its crypto property.

The PoR exhibits that the buying and selling platform holds property value greater than 100% of consumer deposits, guaranteeing that every one property are available if customers want to withdraw them.

The Nansen dashboard knowledge revealed that Bybit’s wallets include over $11 billion in crypto property. In line with Nansen, this web value displays the full worth of the token holdings within the addresses offered by Bybit.

Nevertheless, the analytics platform famous that this was not meant to be a complete assertion of Bybit’s precise property or reserves.

Insolvency Rumors and Regulatory Challenges

On Could 22, rumors about Bybit’s insolvency unfold on X, fueled by memes from a preferred FTX-related publish that talked about Bybit as an alternative.

Whereas some customers joked about withdrawing their funds, others sought to know the state of affairs extra deeply. A cryptocurrency consumer speculated {that a} bug in a proof-of-reserves graph from Arkham Intelligence may need prompted the rumor.

that is FALSE information

it’s bybit

there’s a bug within the @ArkhamIntel proof of reserves graph that’s seemingly inflicting the hearsay

if u verify their wallets individually u can simply show the graph is damaged https://t.co/gRI78d1cGu pic.twitter.com/lEmaGpei2P

— s0y bo1 (@s0ybo1) Could 22, 2024

The graph seemingly confirmed Bybit’s wallets being drained, inflicting issues a couple of potential hack or insolvency. Nevertheless, impartial views of the wallets confirmed that the funds had been intact.

Along with insolvency rumors, Bybit additionally confronted regulatory challenges earlier in Could. On Could 16, France’s securities regulator, the Autorité des Marchés Financiers, strengthened a warning that Bybit just isn’t registered as a digital asset supplier within the nation and said it had the authority to dam the platform, which was “offering its providers illegally” within the nation.

Bybit responded, stating that it had been working very intently with the AMF and was within the means of searching for a license. It talked about that to make sure full compliance with native rules, the corporate had determined to exit the native market in 2023.