TL;DR
- Bybit enhances transparency by making its liquidation data fully accessible to the public, addressing previous underestimations.
- A former payroll manager was sentenced to nearly 10 years for embezzling $5.7 million from Bybit, impacting the exchange’s reputation.
- Bybit CEO Ben Zhou denounces the Pi Network as a scam, reaffirming the exchange’s commitment to maintaining a secure and trustworthy platform.
Bybit has recently been in the spotlight for various reasons. From unveiling comprehensive liquidation data to dealing with a major fraud scandal and addressing concerns about the Pi Network, Bybit has had a tumultuous day. These developments highlight the exchange’s commitment to transparency, the challenges it faces, and its stance on controversial projects.
Bybit’s Liquidation Data Transparency
Bybit has recently made a significant move towards enhancing transparency by making all its liquidation data fully accessible to the public. This initiative, announced in Bybit’s official press release, aims to provide real-time data to institutional investors, analysts, and traders.
Bybit’s enhanced API now delivers liquidation data every 500 milliseconds, setting a new industry standard for transparency. This bold step underscores Bybit’s commitment to building trust and confidence among its users, positioning the exchange as a leader in the crypto market.
In early February, the crypto market encountered a significant liquidation crisis amidst growing fears of a potential global trade war. According to CoinGlass, over $2.24 billion was liquidated across 730,000 traders, with $333 million attributed to Bybit.
However, Zhou argued that these figures were drastically underestimated, asserting that Bybit alone recorded $2.1 billion in liquidations within 24 hours and estimating the total industry liquidation value to be closer to $10 billion.
Fraud Scandal and Legal Consequences
In a separate development, a former payroll manager at Bybit, Ho Kai Xin, was sentenced to nearly 10 years in prison for embezzling $5.7 million from the company. Ho exploited her position to divert funds to her personal accounts, using the stolen money to finance a lavish lifestyle.
The fraud was uncovered when unusually large cryptocurrency transactions were noticed, leading to an internal investigation.
Bybit managed to recover a portion of the stolen funds, but the incident has had a significant impact on the exchange’s reputation. This case serves as a reminder of the importance of robust internal controls and vigilant oversight in the cryptocurrency industry.
Pi Network Controversy
Bybit’s CEO, Ben Zhou, has also made headlines by publicly denouncing the Pi Network as a scam. Zhou cited warnings from Chinese authorities and expressed concerns about the project’s legitimacy.
He firmly stated that Bybit would not list the Pi token on its exchange, urging the Pi Network team to address the growing doubts and legitimacy concerns. This stance reflects Bybit’s commitment to maintaining a secure and trustworthy platform for its users.
