Bybit Alert: On-Chain Researcher Warns Cross-Chain Bridge Volumes May Conceal Hacker Movements

Prominent on-chain researcher ZachXBT has issued a warning about the potential misuse of surging cross-chain bridge volumes to mask illicit activities. The alert highlights concerns that hackers may be exploiting bridging services to obscure the origin of stolen funds, particularly when moving assets back to ethereum for obfuscation through mixing protocols like TornadoCash. This caution comes amidst reports of record volumes on platforms like LiFi Protocol, raising questions about the transparency and security of cross-chain asset transfers in the DeFi ecosystem.

On-Chain Researcher Warns Bridge Volumes May Mask Hacker Activity

ZachXBT, a prominent on-chain researcher, has raised concerns that surging cross-chain bridge volumes could be disguising illicit activity. The analyst suggests hackers may be exploiting bridging services to obscure the origin of stolen funds, particularly when moving assets back to Ethereum for mixing through protocols like TornadoCash.

The warning came in response to LiFi Protocol’s reported record volumes, with ZachXBT drawing parallels to THORChain’s spike during the Bybit hack. While bridging serves legitimate multi-chain interoperability needs, its permissionless nature creates ideal conditions for bad actors. LiFi’s team acknowledges struggling to balance growth with preventing unwanted transactions, but their celebration of volume milestones has drawn criticism given the potential LINK to fund laundering.

Is Pump.Fun Preparing to Launch its PUMP Token?

Speculation mounts as Pump.fun, the meme coin launch platform, remains silent on rumors of an impending PUMP token release. Market observers suggest the MOVE could take the form of a large-scale airdrop or a Liquidity Bootstrapping Protocol (LBP), though details remain scarce.

The chatter gained traction after Bybit renamed an existing Babylon Network token from ’PUMP’ to ’PUMPBTC,’ freeing the original ticker. This technical adjustment fueled theories that the Solana-based launchpad might be preparing to claim the designation for its own asset.

Unverified tokens linked to Pump.fun’s ecosystem—including tribute coins honoring team members—have already seen speculative surges. The platform’s recent decline in meme coin market share adds credence to theories of an impending strategic pivot.