The Bybit hack prompted users to withdraw over $5 billion from the platform, leading to the closure of parts of its Web3 division and NFT marketplace, despite assurances that the company could absorb the losses.

In a notable incident, federal law enforcement is investigating over $35 million in stolen Bitcoin linked to the February 2025 Bybit hack, which involved a staggering $1.4 billion theft.

On the same day, blockchain analysts detected two large Bitcoin transfers totaling over $130 million, suspected to be from a single large-scale investor, indicating possible market repositioning.

Federal Reserve Chair Jerome Powell has hinted at a potential shift towards more favorable regulatory approaches to digital assets, reflecting a growing bipartisan interest in regulating stablecoins.

The evolving landscape of the crypto industry is characterized by increased scrutiny from law enforcement, potential regulatory changes, and significant movements by major investors.

The crypto exchange eXch is facing allegations of laundering funds for North Korea's Lazarus Group, which has led to a transatlantic operation involving the FBI and international cybercrime units.

Security analysts have suggested that eXch has been under surveillance for weeks, with blockchain trackers identifying suspicious Bitcoin transactions connected to the Bybit breach.

Despite the ongoing market volatility, Bitcoin remains around the $85,000 mark, with traders divided on whether the next movement will be upward or a correction.

On April 17, eXch announced it would cease operations on May 1 due to regulatory pressures and intelligence operations targeting its leadership, admitting to processing some of the hacked funds but claiming the amount was 'insignificant.'

As of March 20, 2025, nearly 89% of the stolen assets from the Bybit hack have been traced, aided by a $2 million bounty program that incentivized tips to help freeze the stolen tokens.