TLDR
- THORChain processed a record $4.6 billion in swaps following the Bybit hack
- Bybit hackers stole $1.4 billion in ETH on February 22, 2025
- Hackers used THORChain as one of the main platforms to launder stolen funds
- The entire 499,000 ETH was laundered within 10 days
- THORChain earned $5.5 million in fees from the laundering activity
THORChain, a decentralized cryptocurrency exchange protocol, has recorded its highest-ever weekly trading volume of $4.6 billion. This surge in activity comes in the wake of a major security breach at crypto exchange Bybit.
The protocol’s record-breaking performance occurred during the week ending March 2, 2025. On Sunday alone, the platform processed over $1 billion in cryptocurrency swaps.
The unprecedented volume stems from the February 22 hack of Bybit exchange. Hackers, believed to be North Korean in origin, stole approximately $1.4 billion worth of ether (ETH) from the platform.
Blockchain analytics firm Nansen tracked the movement of the stolen funds. They observed that the hackers distributed the assets across multiple wallets in increasingly smaller amounts.
The attackers began interacting with various third-party platforms to swap and move the stolen cryptocurrency. THORChain emerged as one of the primary channels used in this process.
Other platforms involved in the movement of funds included Paraswap, Mantle, OK DEX, and DODO. These services were used as part of a complex network of transactions designed to obscure the origin of the stolen assets.
Onchain analyst EmberCN reported that the hackers completed the laundering of all 499,000 stolen ETH within ten days. This rapid movement of funds had a measurable impact on the ethereum market.
The price of ETH dropped by 23% during this period. The value fell from $2,780 to $2,130 as the stolen funds were processed through various platforms.
THORChain’s involvement in these transactions generated substantial revenue for the protocol. The platform earned $5.5 million in handling fees from the increased trading activity.
The protocol’s design allows users to swap cryptocurrencies across different blockchains. This cross-chain functionality made it an attractive option for moving large amounts of digital assets.
The $4.66 billion in weekly volume represents the highest amount ever processed by THORChain. This figure was confirmed by data from DefiLlama, a cryptocurrency analytics platform.
The surge in activity highlights the challenges faced by the cryptocurrency industry in preventing the movement of stolen funds. Despite tracking efforts, hackers can still access decentralized platforms to process stolen assets.
Inside the Network
Nansen’s analysis revealed a pattern in how the stolen funds were moved. The hackers created an expanding network of wallets, with each transfer becoming smaller and more difficult to track.
The ten-day period required to process the stolen ETH demonstrates the scale of the operation. The hackers maintained a steady pace of transactions throughout this time.
As of March 4, 2025, THORChain has not issued an official comment on these events. The platform continues to operate as designed, processing cross-chain cryptocurrency swaps.
