The recent Bybit hack, which led to a loss of $1.4 billion, has raised serious concerns in the crypto space. The attackers managed to compromise Bybit’s ETH cold wallet, transferring the stolen funds into one address before spreading them across multiple wallets.
As the hack news spreads, BitMEX co-founder Arthur Hayes has suggested a bold plan, rolling back the Ethereum network to erase the hack and recover the lost funds.
Ethereum Rollback: A Possible Solution?
Arthur Hayes, a prominent ETH investor, addressed Ethereum co-founder Vitalik Buterin on X, suggesting that the network should undergo a rollback to assist Bybit in recovering the stolen funds.
.@VitalikButerin will you advocate to roll back the chain to help @Bybit_Official ?
— Arthur Hayes (@CryptoHayes) February 21, 2025
In his post, Hayes stated that Ethereum already rolled back in 2016 after the DAO hack, which led to a hard fork that split into Ethereum and Ethereum Classic to recover $60 million stolen.
Thus he questioned why a similar measure couldn’t be taken again to rectify this significant loss.
“I would support it because we already voted no on immutability in 2016—why not do it again?”
Complexity of an Ethereum Rollback
The idea of a rollback has sparked mixed reactions in the crypto space. Some believe it could be a solution to prevent bad actors from benefiting, while others argue that Ethereum’s ecosystem is now too complex which is deeply connected to stablecoins, Layer-2 solutions, and other projects.
Gautham Santhosh, co-founder of Polynomial.fi, pointed out that a rollback could break many essential parts of the Ethereum ecosystem, making it an unrealistic option.
Meanwhile, Sina 21st Capital raised concerns about Ethereum’s future, saying the network is in a tough spot. If it rolls back, it risks losing its decentralization.
But if it doesn’t, the hackers like the North Korean group get to keep the stolen funds. Either way, Ethereum’s reputation could suffer
Ethereum Price Under Pressure
Following the news of the Bybit hack and the debate over a possible rollback, Ethereum’s price has dropped by around 3.7% in the last 24 hours. However, it is still moving within the $2,600 to $2,800 range.
Ethereum is now at a key resistance level of $2600, which includes the 200-day moving average and the lower boundary of a descending wedge.
If it fails to break through upward movement, ETH could see further declines, possibly dropping toward the $2,500 mark.
Credit: Source link
