The non-KYC centralized exchange eXch has strongly denied allegations of laundering stolen funds from the historic Bybit hack on behalf of the notorious Lazarus Group.
The accusations, which have been widely discussed across social media and blockchain investigation forums, claim that eXch processed millions of dollars in stolen funds tied to the North Korean hacking collective.
In response to these accusations, eXch issued an official statement on 23 February 2025. The exchange has labeled these claims as baseless and part of a targeted “FUD attack.”
“We are not laundering money for Lazarus/DPRK,” said eXch.
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Bybit Suffers Loss Of $1.5 billion In Crypto Hack
The Bybit hack has now been confirmed as the largest cryptocurrency theft in history, with attackers stealing over $1.4 billion after compromising the exchange’s Ethereum multisig cold wallet.
The scale of this incident has sent shockwaves through the industry, raising concerns about security vulnerabilities and risk management practices at major exchanges.
Binance founder Changpeng Zhao weighed in on the situation shortly after news of the hack broke.
In a 21 February 2025 post on X (formerly Twitter), Zhao suggested temporarily halting all withdrawals as a precautionary measure to ensure system integrity.
He commented, “Not an easy situation to deal with. Might suggest to halt all withdrawals for a bit as a standard security precaution. Will provide any assistance if needed. Good luck!”
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Allegations Of Laundering $30 Million Linked To Lazarus Group
eXch Refuses to Cooperate After Being Linked to North Korean Hackers
@Bybit_Official request for assistance was rejected by eXch, the coin mixer used by North Korean hackers.
— Crypto luffy (@CryptoLuffy007) February 23, 2025
The controversy began when prominent blockchain investigator ZachXBT alleged in a Telegram post that eXch had processed $35 million worth of stolen funds from the Bybit hack. He also claimed that the exchange mistakenly sent 34 ETH (approximately $96,000) to another exchange’s hot wallet.
Other blockchain analysts and security firm SlowMist corroborated these allegations. He said that eXch received Ethereum (ETH) from wallets associated with the Bybit exploit.
Nick Bax, a member of the Security Alliance white hat hacker group, further estimated that eXch handled approximately $30 million in funds linked to North Korea on the same day. Furthermore, a portion of the stolen ETH was converted into other crypto on eXch’s platform.
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Key Takeaways
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The Bybit hack has now been confirmed as the largest cryptocurrency theft in history, with attackers stealing over $1.4 billion after compromising the exchange’s Ethereum multisig cold wallet.
While eXch has denied any wrongdoing, its acknowledgment that some stolen funds entered its platform highlights the challenges non-KYC exchanges face in preventing illicit transactions.
The post Non-KYC Crypto Exchange eXch Denies Allegations Of Laundering Bybit Hack Funds For Lazarus Group appeared first on 99Bitcoins.
