Bybit sues North Korea, Lazarus Group over $1.5B crypto theft

Bybit sued North Korea and the Lazarus Group in a U.S. court over a $1.5B crypto theft, securing an asset freeze while litigation and investigations continue.

Bybit has filed a civil lawsuit in the U.S. District Court for the District of Columbia against North Korea, its Reconnaissance General Bureau, and the Lazarus Group. The exchange alleges their involvement in a $1.5 billion cryptocurrency theft in February 2025. The FBI attributed the hack, which involved over 400,000 ETH and stETH, to North Korean actors, marking it as the largest recorded crypto theft to date. Bybit obtained a preliminary injunction from a federal judge, freezing certain stolen assets held by unidentified parties to prevent their transfer or dissipation during ongoing litigation. This civil case is separate from ongoing U.S. criminal investigations into the incident. Bybit emphasized its cooperation with investigators, regulators, and other exchanges. The legal action aims to recover stolen funds and hold those responsible accountable. While the asset freeze is a significant legal step, it does not guarantee the return of funds. The case has drawn international attention due to its scale and implications for crypto industry security.