Ben Zhou, the CEO of cryptocurrency exchange Bybit, has responded to concerns regarding the platform’s hacking and collapse.
He dismissed all insolvency reports and provided evidence of Bybit’s financial holdings and cryptocurrency assets.
Ben Zhou Provides Proof-of-Reserves
Zhou refuted the charges in a May 23 X post, claiming they lack factual support. “None of the rumors that I have seen so far have any real facts supporting them. Please be aware,” Zhou wrote.
Zhou also provided a link to Bybit’s proof-of-reserves (PoR) and the Nansen dashboard. These websites clearly show the cryptocurrency exchange’s financial holdings and the overall value of its cryptocurrency assets.
The PoR demonstrates that the trading platform keeps assets worth more than 100% of user deposits, ensuring that all assets are easily accessible if users want to withdraw them.
Bybit Clears Insolvency Rumors
According to the Nansen dashboard data, Bybit wallets have more than $11 billion in cryptocurrency assets. According to Nansen, this net worth is the total value of the token holdings at the addresses provided by Bybit.
However, the analytics platform stated that this was intended to represent a partial list of the cryptocurrency exchange’s actual assets and reserves.
On May 22, rumors of the cryptocurrency exchange’s insolvency started to spread on X thanks to memes from a well-liked FTX-related post that used the cryptocurrency exchange as the subject.
While some people joked about withdrawing their money, others wanted to comprehend the situation better. A bitcoin user speculated that the rumor stemmed from a glitch in Arkham Intelligence’s proof-of-reserves graph.
The graph showed the cryptocurrency exchange’s wallets being drained, raising concerns about a possible hack or insolvency. However, an independent examination of the wallets revealed that the cash was intact.