Bybit faced one of the largest security breaches incrypto history, but rather than standing alone, the exchange witnessed anextraordinary wave of industry-wide support. The exchange reportedly lost more than $1.4 billion in liquid-staked Ether (ETH) and MegaETH (mETH) due to a security breach.Key players in both centralized and decentralizedfinance rallied to contain the attack, prevent fund movement, and support therecovery process. This collective effort underscores the crypto industry'sresilience and commitment to security. In response, Bybit has also launched a $140M RecoveryBounty Program, offering incentives to experts who help track and retrievestolen assets.Immediate Action to Contain the BreachThe moment Bybit detected the attack, its securityteam swiftly locked down the system, secured user funds, and coordinated withtop cybersecurity firms. Major industry names, including Antalpha Global,Bitget, Pionex, MEXC, and others, stepped in to assist.🚨ALERT🚨Our system has detected abnormal activity, including suspicious behavior involving the @Bybit_Official wallet!Several wallets are exhibiting highly suspicious patterns, and we are actively reaching out to the exchange to warn them. The total affected assets are… pic.twitter.com/iAQqlgU4Rf— 🚨 Cyvers Alerts 🚨 (@CyversAlerts) February 21, 2025Blockchain security firms blacklisted addresses linkedto the exploit, preventing unauthorized fund transfers. Chainalysis reportedly identified the hacker’s wallet, allowing the broader community to trackmovements in real time.“Within 24 hours of the event, we were overwhelmedwith support from some of the best people and organizations in the industry,and we do not take it for granted. We have shared in a dark moment of cryptohistory, and we’ve proven we are better than the malicious actors,” said BenZhou, co-founder and CEO of Bybit. “We want to officially reward our community for lending us their expertise, experience, and support through the Recovery Bounty Program, and our efforts to make this difficult lesson a valuable one does not stop here."As part of the investigation and recovery efforts, Bybit is pledging 10% of recovered funds to reward ethical cyber and network security experts who play an active role in retrieving the stolen cryptocurrencies in the incident. Read more here: https://t.co/DCKgSTnMVO— Bybit (@Bybit_Official) February 22, 2025Strengthening Crypto’s Security FutureAdditionally, Zero Shadows activated a 24/7 responseteam to assist with bad actor tracing, fund recovery, and law enforcementcoordination. Crypto Leaders Reinforce Market Stability. Despite the uncertainty, Bybit’s institutionalclients, including Wintermute, Cumberland, and GSR Markets, maintained tradingpositions, preventing widespread market panic.Bybit’s $140M Recovery Bounty ProgramDetermined toretrieve stolen assets, Bybit has announced a Recovery Bounty Program, offering10% of recovered funds to security experts who contribute to tracking andreclaiming the lost crypto assets.It’s been a challenging 24 hours, but one thing is clear—our partners have our backs. The support from @AntalphaGlobal, @bitgetglobal, @MEXC_Official , @galaxyhq , @falconxnetwork , @LidoFinance , @fenbushi, @pionex_com and many others has been nothing short of incredible.Your…— Bybit (@Bybit_Official) February 22, 2025With over $1.4 billion in compromised funds, thebounty could reach $140 million in rewards. Bybit is calling on ethicalhackers, analysts, and blockchain investigators to join the initiative. Bybit remains committed to transparency, promisingcontinuous updates as it enhances security infrastructure and reinforcesindustry-wide defense mechanisms. This article was written by Jared Kirui at www.financemagnates.com.