- Ethereum developers reject reversing $1.5B Bybit hack as Tim Beiko warns of chain-wide disruptions, technical hurdles, and irreversible transaction impacts.
- Bybit’s breach lacks DAO’s failsafe; immediate fund transfers block protocol fixes, complicating rollback without collateral damage.
The Ethereum network faces mounting pressure to reverse a $1.5 billion hack targeting crypto exchange Bybit, but core developers caution against such action. Tim Beiko, a leading Ethereum contributor, stated that rolling back the blockchain to its pre-hack state would introduce technical and operational challenges. The proposal, fueled by industry figures, has sparked debate over blockchain immutability versus crisis response.
ELI5 why we cannot "rollback" Ethereum?
After yesterday's Bybit hack, crypto commentators are again asking why Ethereum cannot "rollback" the chain to reverse the hack.
While experienced ecosystem actors near-unanimously agree that this is infeasible, it's worth breaking down…
— timbeiko.eth (@TimBeiko) February 22, 2025
On February 21, attackers exploited a compromised interface in Bybit’s multisig wallet, altering smart contract logic to drain funds. Unlike the 2016 DAO breach—where a built-in failsafe delayed withdrawals, enabling a protocol-level fix—the Bybit hack allowed immediate fund transfers.
“Because there was no way in the application itself to do this, Ethereum protocol developers had to make the change directly in the blockchain’s history,” Beiko explained.
Beiko clarified that the transaction appeared valid under existing rules, leaving no clear path for reversal without broader disruption.
There will be no Ethereum rollback
For the same reason that BTC & SOL will also never roll back, as they are still public blockchains!
Those that "attack" ETH in this way weaken the foundation of all crypto
In times like this, we should unify, not divide, crypto communities 🕊️
— Justin Bons (@Justin_Bons) February 22, 2025
Ethereum’s ecosystem has expanded since 2016, now supporting decentralized finance protocols and cross-chain bridges. Beiko warned that altering transaction history could destabilize interconnected systems, affecting unrelated transactions settled post-hack. Anthony Sassano, an Ethereum educator, reinforced this stance, noting that blockchain mechanics today differ sharply from those during the DAO incident.
Ethereum could rollback, yes (so could bitcoin btw, all you need is majority consensus).
The impact of doing so would be larger than $1.5B. Thousands of innocent people would lose money, thousands more would gain money they shouldn't Accounting for all major players like Circle…
— Quit (@0xQuit) February 22, 2025
Yuga Labs executive 0xQuit estimated the financial fallout of a rollback could surpass $1.5 billion, citing unintended losses or gains for users.
“Rewinding Ethereum’s chain would disrupt thousands of legitimate transactions,” they stated.
Despite risks, figures like Jan3 CEO Samson Mow and BitMEX co-founder Arthur Hayes publicly endorsed reversing the hack to curb North Korean access to stolen funds.
Bybit CEO Ben Zhou deferred to community consensus, suggesting a vote aligned with blockchain’s decentralized ethos. However, developers emphasize technical impracticality over governance preferences.
The debate underscores a tension between Ethereum’s founding principles and real-world crises. While reversals remain technically fraught, the incident highlights evolving expectations for blockchain accountability.
The current price of Ethereum (ETH) is $2,818.20 USD, reflecting a 1.98% increase in the past 24 hours. Over the past week, ETH has gained 4.68%, showing renewed bullish momentum.
However, on a monthly scale, Ethereum is still down 15.61%, indicating that it is recovering from recent losses. Despite short-term volatility, ETH remains in a key consolidation phase, with traders closely watching for potential breakout levels.
