UAE Bybit Hack: Approval Timing in Question
- Just days before news broke of a significant crypto hack that impacted Bybit last week, they received a key regulatory nod.
- Specifically, Bybit has secured in-principle approval from the UAE’s Securities and Commodities Authority (SCA).
- This move is part of a broader strategy for the exchange, as they actively expand their reach into important markets like India, Georgia, Kazakhstan, and Turkey.
Exciting news for the crypto world: Bybit, a well-known crypto exchange, is set to establish a virtual assets platform in the United Arab Emirates (UAE) after receiving in-principle approval.
According to a recent blog post on February 27th, Bybit officially announced they’ve been given the green light by the UAE’s Securities and Commodities Authority (SCA). They also mentioned they’re in the home stretch to get their full operational license, so things are moving quickly.
Ben Zhou, Bybit’s co-founder and CEO, shared his enthusiasm, stating:
“This approval marks a crucial step forward as we aim to deliver crypto trading solutions that are not only secure but also completely transparent.”
Bybit hack
Interestingly, this in-principle approval, as mentioned in their announcement, was actually granted on February 18th – just a short time before the exchange became the target of a major crypto hack.
Last Friday, Bybit experienced a serious security breach where attackers managed to steal close to $1.5 billion in Ethereum from one of their wallets. While investigations are ongoing, suspicion has fallen on North Korea’s Lazarus Group, although they haven’t confirmed or denied any involvement.
Even though Bybit has taken steps to recover from the hack, it’s understandable that investor confidence has been shaken. This incident, coupled with wider global uncertainties, has had a cooling effect on the crypto market. For example, Bitcoin dipped to $84,000 yesterday, marking its lowest point since last November. However, there’s a slight uplift as it’s currently trading around $86,000 at the time of writing, according to CoinMarketCap data.
Reiterating the importance of the UAE approval, Zhou added:
“Bybit is fully committed to collaborating closely with regulators. We want to help build a digital asset space in the UAE that’s both compliant and innovative, serving the needs of both individual and institutional investors.”
Looking beyond the UAE, Bybit is actively pursuing regulatory approvals in several other countries, showing their commitment to growth in regions like Georgia, India, Kazakhstan, and Turkey.
