David Zong, Head of Group Risk Control at Bybit, said the platform’s three-tier risk monitoring system and industry intelligence partnerships helped protect over 4,000 users and block millions of credential attacks. Cryptocurrency exchange Bybit has reported the results of its 2025 security initiative, revealing that more than $300 million in scam-linked withdrawals were intercepted and recovered during the fourth quarter of 2025. The announcement comes at a time when global cryptocurrency fraud remains a growing concern. According to a 2025 report by Chainalysis, nearly $17 billion in digital assets were lost worldwide to scams and fraud-related activities during the year, highlighting the need for stronger risk monitoring across the digital asset ecosystem.
Bybit introduced a dynamic risk-based protection system aimed at identifying suspicious withdrawal behaviour before funds leave the platform. The system categorises withdrawal activity into three risk levels designed to detect potential scams and alert users in real time. The first level functions as an early warning system. Bybit analyses behavioural patterns using large-scale data heuristics to detect unusual activities such as repeated withdrawals directed to a newly created wallet address.
The second level introduces real-time alerts. Accounts linked to credential stuffing databases or suspicious withdrawal addresses trigger warnings during the withdrawal process. These alerts encourage users to pause and review the transaction, an approach intended to counter social engineering tactics that rely on urgency or emotional pressure. The highest level activates immediate withdrawal blocking, and enforces a one-hour cooling period to verify the legitimacy of the transaction.
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