Bybit CEO Debunks Insolvency Rumors Amid Regulatory Challenges
![Bybit CEO Debunks Insolvency Rumors Amid Regulatory Challenges](https://coinspress.com/wp-content/uploads/2023/06/bybit-cover-png-915x600.webp)
Bybit's CEO, Ben Zhou, took to X to dispel rumors circulating about the platform's alleged hack and insolvency.
The speculation, which emerged on May 22, quickly gained momentum on X, fueled by memes reminiscent of a previous FTX-related incident but this time centered around Bybit.
Some users joked about withdrawing their funds, while others speculated on the validity of the rumors. Concerns arose from a purported bug in a proof-of-reserves graph from Arkham Intelligence, suggesting a draining of Bybit’s wallets. However, independent verification showed no such activity.
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Bybit refuted the claims the next day, with Zhou addressing the community on X, stating that none of the rumors had factual basis. He also shared Bybit’s proof of reserves and a Nansen dashboard revealing over $11 billion in crypto assets held by the platform.
Despite the reassuring data, Nansen cautioned that their findings weren’t exhaustive.
Aside from the insolvency rumors, Bybit faced regulatory challenges in May when France’s securities regulator warned investors about the exchange’s unregistered status as a digital asset provider in the country, potentially facing legal consequences.