The $1.5 billion Bybit hack has led European regulators to launch a formal investigation into cryptocurrency exchange OKX. This is because hackers used its platform to launder proceeds from the largest crypto heist in history on February 21, 2025.
European regulators launched the investigation after discovering that hackers used its service to process approximately $100 million of stolen cryptocurrency.
Regulators Scrutinize OKX Exchange
In 2024, the EU introduced the MiCA regulation to create uniform standards across the European cryptocurrency landscape. The regulation applies to all crypto asset service providers serving Europeans, irrespective of where they register.
The European Securities and Markets Authority’s Digital Finance Standing Committee held a high-level meeting on March 6. National watchdogs from each of the 27 EU member states gathered for the conference to discuss security concerns.
The timing of the OKX investigation is especially important since it recently got pre-authorization to operate under the EU’s Markets in Crypto-Assets (MiCA) policy.
The company also actively participated in assisting during the hack. For example, Hong Fang, CEO of OKX, announced the addition of the hacker’s address associated with the Bybit breacdh to its blacklist.
Furthermore, OKX implemented real-time monitoring and transaction-blocking systems to prevent any funds from being transferred through their platform.
Even with these steps, evading MiCA’s regulatory monitoring has been difficult. The authorities will investigate whether OKX followed MiCA’s rigorous standards, including anti-money laundering policies, risk management practices, and transparency requirements.
Should OKX be in breach, it might face heavy fines and lose its newly gained regulatory standing.
What’s Ahead for EU Crypto Regulators
As more people use cryptocurrencies, the development emphasizes how urgently strong security policies and legal frameworks must be developed.
Moreover, rules such as MiCA are still to show their value as means of stopping advanced state-sponsored attacks.
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