In a significant escalation of efforts to track illicit crypto funds, the Greek Anti-Money Laundering Authority has frozen cryptocurrencies tied to the massive $1.5 billion hack of Dubai-based exchange Bybit, a breach attributed to a notorious hacking group. The move follows a public announcement by the U.S. Federal Bureau of Investigation (FBI), which issued a nationwide alert about the incident and the subsequent freezing of suspicious transactions.
Indicative of the scale and gravity of the case, the FBI’s announcement underscored the importance of swift, coordinated action to recover stolen digital assets. “TraderTraitor,” the FBI’s internal designation for the Bybit incident, has become one of the largest crypto hacks in history, sending shockwaves through the global digital asset industry.
Investigation Uncovers Suspicious Ethereum Transfers
The case unfolded last month when the Anti-Money Laundering Authority received intelligence about unusual cryptocurrency movements. A suspicious transaction was flagged on a Greek crypto exchange platform, involving a registered user whose wallet had suddenly received a significant amount of Ethereum.
This flagged transaction triggered a full-scale investigation by the authority’s specialised analysts, who traced the funds back to the February 2025 Bybit hack. The analysis revealed that the digital assets in the suspect’s wallet matched the stolen Ethereum linked to the $1.5 billion theft.
According to officials, the funds had been moved in an apparent attempt to launder the illicit proceeds through legitimate-looking transactions on European platforms. The Anti-Money Laundering Authority’s timely detection and tracing of these funds underscore the rising sophistication of both criminals and financial crime investigators in the crypto space.
Seizure Order Issued as Legal Proceedings Begin
Following the investigation’s findings, the Anti-Money Laundering Authority promptly issued a seizure order against the crypto wallet holding the illicit Ethereum, effectively freezing the assets and preventing any further movement.
A detailed report documenting the entire investigation and the wallet’s criminal connections was submitted to the competent Prosecutor’s Office, which will now determine the next steps for legal action. These measures aim to ensure that those responsible for laundering stolen crypto face prosecution and that victims of the Bybit hack stand a chance of seeing some restitution.
Notorious Hacking Group Behind the Record-Breaking Theft
Authorities believe the February attack on Bybit was orchestrated by a well-known, state-backed hacking group, continuing a troubling trend of geopolitical actors leveraging crypto theft to fund broader strategic objectives. Analysts have noted that this theft alone represents nearly 70% of total crypto stolen globally so far in 2025, highlighting the scale and impact of the incident.
The FBI’s designation of the hack under the codename “TraderTraitor” reflects the agency’s view of the attack’s severity and its links to other sophisticated cybercrime operations. The FBI’s public announcement was intended both to inform the public and to encourage international collaboration to track and recover the stolen assets.
Strengthening Greece’s Fight Against Financial Crime
The Anti-Money Laundering Authority, established to enhance financial transparency and crack down on financial crime, has emphasised its commitment to staying ahead of increasingly complex laundering schemes. The institution operates under the auspices of the Ministry of National Economy and continues to develop independent operational capabilities to tackle modern financial crime threats.
In a statement, officials reaffirmed the Authority’s dedication to pursuing illicit financial flows, noting that this case demonstrates the effectiveness of modern analytics and international cooperation in combating crypto-related crime. “Our mission is to ensure transparency and protect the integrity of our financial system,” an Authority spokesperson said.
A New Era of Crypto Crime Enforcement
The successful freezing of funds linked to one of the largest crypto thefts in history marks a milestone in the evolving battle against cryptocurrency-enabled crime. As hackers turn to increasingly advanced methods and state-backed groups exploit digital assets to circumvent sanctions or fund covert operations, regulators and law enforcement agencies worldwide are racing to match their capabilities.
The Bybit hack and the subsequent seizure in Greece serve as a stark reminder of the stakes involved and the critical importance of vigilant monitoring, cross-border cooperation, and robust legal frameworks. With crypto crime growing more sophisticated by the day, financial watchdogs are under pressure to adapt and, as this case shows, they are rising to the challenge.
