Zhao Changpeng: Proposing to suspend withdrawals is a prudent move, Bybit CEO makes the best decision based on the situation
ChainCatcher message, Binance founder Zhao Changpeng expressed detailed views on the recent hacking incident, "We have observed a pattern where hackers are able to steal large amounts of cryptocurrency from multi-signature 'cold storage' solutions. Exchanges like Bybit, Phemex, and WazirX have all encountered similar situations. In the recent Bybit case, hackers were able to make the front-end user interface display legitimate transactions, while the actual signatures pointed to another transaction. For other cases, based on limited information, it seems that similar methods were employed.What is even more concerning is that the affected exchanges used different multi-signature solution providers. The hacker organization Lazarus Group has demonstrated extremely advanced and widespread infiltration capabilities. It is still unclear whether the hackers successfully infiltrated multiple signing devices, the server side, or both were compromised.Some have questioned my previous suggestion to pause withdrawals as a standard security precaution (a tweet I posted while on the shuttle bus to the airport). My intention was to share a practical approach based on experience and observation, but there is no absolute right or wrong in this practice. My guiding principle has always been to lean towards the safer side. After any security incident, all operations should be paused to ensure we fully understand what happened, how the hackers infiltrated the system, which devices were compromised, and only after triple-checking for safety should we resume operations.Of course, pausing withdrawals may trigger more panic. In 2019, after a significant hacking incident of $40 million, we paused withdrawals for a week. When we resumed withdrawals (and deposits), the deposit volume actually exceeded the withdrawal volume. This does not mean that this method is better; each situation is different and requires judgment. I tweeted to share potentially effective practices, intending to express support in a timely manner. I believe Ben made the best decision based on the information available.Ben maintained transparent communication and a calm demeanor while handling this challenging situation. This stands in stark contrast to other CEOs lacking transparency, such as those from WazirX, FTX, etc.The cases mentioned here are all different. FTX is a case of fraud, and as for WazirX, I will refrain from commenting due to ongoing litigation.Most importantly, we should never take security for granted. It is essential to understand security knowledge so that you can choose the right tools for your needs. To this end, I will share an article I wrote a few years ago. Although some parts may be outdated, the basic concepts still apply. Stay safe (SAFU)!"