TLDR
- Bybit blocked fake deposit attacks across multiple blockchain networks
- Over 1 billion DOT in potential losses were prevented during the incidents
- Attackers used batch and multi-step transactions to simulate deposits
- No user funds were credited incorrectly or affected during the attacks
- Multi-layer validation ensured only real asset movements were accepted
Bybit reported that it blocked coordinated fake deposit attacks across several blockchain networks. The exchange said the actions prevented potential losses exceeding 1 billion DOT. It confirmed that no user funds were affected during the incidents.
Detection of Coordinated Fake Deposit Attempts
Bybit stated that its risk control team identified coordinated fake deposit attacks across several blockchain networks. The exchange said these attempts aimed to exploit weaknesses in deposit verification systems.
The attackers used complex transaction methods to create the appearance of deposits. These methods included batch transactions and multi-step execution flows. The goal was to trick systems into crediting funds that were never received.
Bybit reported that all suspicious transactions were detected and stopped in real time. It confirmed that no incorrect credits were made to user accounts. The company also stated that no users experienced losses or disruptions.
The exchange noted that fake deposit attacks are not new in the crypto sector. Similar tactics appeared in earlier incidents such as Mt. Gox and Silk Road cases. However, the current attempts used more advanced techniques adapted to modern networks.
Methods Used in the Attack Attempts
According to Bybit, attackers used batch transaction structures to combine several transfers into one operation. In some cases, a large transfer failed while smaller ones succeeded. Systems that only check final transaction status could misread such activity.
The attackers also used multi-step transactions with ownership changes. These methods created the appearance of incoming funds without any actual balance increase. Systems that rely only on logs instead of balance checks may treat these as valid deposits.
Bybit explained that its system avoids such errors by breaking transactions into smaller components. Each part is verified independently to confirm real execution outcomes. This process ensures that failed or misleading steps are identified.
David Zong, Head of Group Risk Control and Security at Bybit, said, “Our system validates each transaction at every level of execution.” He added that all transaction structures are analyzed to confirm genuine asset movement.
Multi Layer Validation and Security Measures
Bybit uses a multi-layer validation framework to monitor deposits. The first stage scans complete blockchain data across supported networks. This allows visibility into all transaction types, including failed and complex ones.
The second stage filters transactions based on user deposit addresses and account structures. This ensures that both direct and indirect interactions are tracked accurately.
The third stage involves a validation engine that checks several factors. These include inner transaction results, batch decomposition, and transfer methods. It also tracks ownership changes and confirms net balance movement.
The final stage focuses on anomaly detection and risk scoring. Transactions that differ from expected patterns are flagged for review. Alerts are triggered in real time for further investigation.
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