Chainflip Bolsters Security After Bybit Hack

Chainflip, a cross-chain bridge, has recently announced measures to enhance its ETH custodian selection mechanism to reject suspicious deposits following the Bybit hack. The hacker attempted to convert the stolen funds from Bybit into BTC using Chainflip, prompting the platform to shut down some frontend services to prevent the funds from moving. However, as the protocol is fully decentralized with 150 nodes, Chainflip cannot completely shut down the entire system.

As a longer-term solution, Chainflip is enhancing the ETH Agent-level filtering mechanism to reject suspicious deposits via the broker-api. This mechanism is currently in place for BTC and will be completed for ETH soon. This update aims to strengthen the platform's security and prevent future incidents similar to the Bybit hack.

The Bybit hack, which occurred on February 22nd, resulted in the theft of approximately 490,000 ETH, valued at around $1.5 billion at the time. This incident has raised concerns about the security of multi-sig wallets and the need for improved security measures in the crypto industry. Bybit has since fully disclosed its liquidation data, setting a new industry standard for transparency.

In other news, centralized exchanges (CEXs) have seen a significant increase in coin liquidation, with the total amount exceeding $65 million. This trend has sparked discussions about the potential end of the "bear market" and the recovery of the crypto market.