Bitcoin News Today: LuBian Bitcoin Mining Pool Hit by $14.5 Billion Cyberheist in 2020

A Chinese-based Bitcoin mining pool known as LuBian was the victim of a major cyberattack in late December 2020, during which 127,426 BTC were stolen [1]. At the time, the stolen Bitcoin was valued at approximately $3.5 billion. However, due to Bitcoin’s significant price appreciation, the amount is now estimated to be worth around $14.5 billion, making it the largest cryptocurrency theft in recorded history [2]. The breach was uncovered in August 2025 by blockchain analytics firm Arkham, which attributed the attack to a vulnerability in LuBian’s key-generation method that left it exposed to brute-force attacks [2].

According to on-chain data, the attack unfolded in late December 2020 when attackers drained over 90% of LuBian’s Bitcoin holdings within a short period. Additional losses, totaling around $6 million in Bitcoin and USDT, were extracted the following day through the Omni protocol. By the end of the month, LuBian had moved the remaining balance into secured recovery wallets and issued multiple on-chain messages—via OP_RETURN notes—urging the return of the stolen funds [2]. These messages were sent across 1,516 transactions, costing the pool 1.4 BTC, a clear sign they originated from the legitimate operators rather than a third-party actor.

Despite the theft, LuBian retained 11,886 BTC, which remains untouched and is currently valued at approximately $1.35 billion. The stolen coins were moved into a single wallet in July 2024 but have not been liquidated or transferred further. This behavior suggests the hacker has no immediate intent to sell the assets, although the wallet’s current balance places its owner as the 13th-largest Bitcoin holder, ahead of the Mt. Gox hacker [2].

The LuBian theft surpasses the previous record, set by Bybit in February 2025, when hackers stole $1.5 billion worth of mETH and stETH [1]. That attack, uncovered by on-chain sleuth ZachXBT and flagged by Cyvers, involved moving funds through decentralized exchanges and mixing services. Bybit attributed the breach to a compromised address during a routine fund transfer and stated there was no internal system intrusion. Nevertheless, the incident exposed vulnerabilities in exchange security protocols and prompted calls for greater industry-wide precautions.

The delayed detection of the LuBian breach—lasting nearly five years—has raised concerns about the transparency and security practices of major mining pools and exchanges. With no official statement from LuBian and no confirmation of the breach from its operators, the incident highlights the lack of accountability and communication in the crypto sector. The revelation has reignited discussions on the need for stronger cybersecurity measures, improved transparency, and more robust regulatory frameworks to prevent future incidents of this scale [2].

Source:

[1] Mitrade. [https://www.mitrade.com/insights/news/live-news/article-3-1007659-20250803](https://www.mitrade.com/insights/news/live-news/article-3-1007659-20250803)

[2] CoinDesk. [https://www.coindesk.com/tech/2025/08/02/arkham-says-usd3-5b-lubian-bitcoin-theft-went-undetected-for-nearly-five-years](https://www.coindesk.com/tech/2025/08/02/arkham-says-usd3-5b-lubian-bitcoin-theft-went-undetected-for-nearly-five-years)