NEWS ALERT!!!
$BTC The cryptocurrency community is rocked by rumors that Bitcoin and altcoin exchange Bybit is going bankrupt. These rumors, originating from a misleading graphical error on an on-chain analysis platform, caused market volatility and a series of gravitational waves. However, Bybit corrected the wrong information and assured users of their financial health.
Rumors create panic for Bitcoin exchanges
On May 22, rumors started circulating about the exchange going bankrupt on Panic arose due to a bug in the Arkham Intelligence platform that misrepresented a significant decline in Bybit's assets. This visual error, combined with the ongoing unease in the crypto community following major crashes such as FTX and Celsius, caused rumors to spread quickly about Bybit's potential bankruptcy. Social media has become a place where speculation spreads. Memes reflecting the collapse of FTX became popular, and users expressed concerns about frozen funds. The situation escalated further with reports of withdrawals exceeding $50 million, but these withdrawals were later contextualized as a small fraction of Bybit's total reserves. Bybit quickly responded to the rumors. A spokesperson stressed that the allegations were baseless. He also argued that Bybit's strict compliance measures might frustrate some people. More importantly, Bybit directs its users to Reserve's official report. It transparently shows Bybit's asset ownership and provides proof of its ability to fulfill user withdrawal requests. The “Reservations” report became a document that many exchanges started sharing after the FTX crash. Additionally, he pointed to data from leading on-chain analysis platforms such as Bybit, Nansen, and DefiLlama.