Bybit, a popular crypto exchange, has recently received regulatory approval from Austria’s Financial Market Authority under the European Union’s Markets in Crypto-Assets (MiCA) framework. This milestone allows Bybit to offer digital asset services across all 30 European Economic Area (EEA) countries, making it one of the few platforms with such extensive reach in the region.
With this license in hand, Bybit is gearing up to establish Austria as its European headquarters. The exchange plans to set up a permanent base in Vienna and hire over 100 local professionals to support its operations in the region. Bybit sees this regulatory approval as a significant step towards compliance with Europe’s stringent regulations on consumer protection, transparency, and anti-money laundering measures.
Mazurka Zeng, the head of Bybit Europe, has also announced the launch of the Blockchain for Good Alliance, an initiative aimed at promoting blockchain research and development in collaboration with universities. This educational effort underscores Bybit’s commitment to supporting the growth and development of the blockchain ecosystem in Europe.
Bybit’s CEO, Ben Zhou, has expressed the company’s intention to pursue licenses in other jurisdictions as well. He emphasized the importance of working closely with regulators to ensure that users can access the platform with the highest levels of regulatory and compliance assurance.
However, despite these positive developments, Bybit is still dealing with the aftermath of a major security breach that occurred in February, resulting in $1.4 billion in losses. A dedicated portal launched by the exchange to track the stolen funds indicates that approximately $644 million, nearly 46% of the stolen assets, remains untraceable.
The investigations into the security breach have revealed that the attackers used sophisticated obfuscation tools like Wasabi Wallet, Tornado Cash, Railgun, and CryptoMixer to conceal their activities. While a significant portion of the stolen funds has been traced and frozen, Bybit continues to work towards recovering the remaining assets.
In response to the breach, Bybit has awarded bounties totaling $2.3 million to individuals and groups who helped in the investigation, including blockchain experts like ZachXBT, BitJungle, and Mantle protocol. This proactive approach to addressing security issues underscores Bybit’s commitment to maintaining the integrity and security of its platform.
Overall, Bybit’s regulatory approval in Europe and its ongoing efforts to address the security breach demonstrate the exchange’s dedication to compliance, transparency, and user protection. As the crypto industry continues to evolve, Bybit remains focused on building a secure and trustworthy platform for its users worldwide.