Bybit Says It Stopped $300M in Crypto Scams With New AI Security Framework

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Dubai-based exchange Bybit has unveiled the results of its 2025 Security Initiative, claiming it intercepted and recovered $300 million in scam-related withdrawals in the fourth quarter alone. The company says it flagged $500 million in suspicious withdrawal attempts and protected more than 4,000 users using a new AI-driven, multi-layered defense system. The announcement comes as crypto-related fraud continues to surge, with blockchain analytics firm Chainalysis estimating that $17 billion was lost to scams and fraud in 2025.

At the core of Bybit’s strategy is a Dynamic Risk-Based protection system that categorizes threats into three tiers. Low-risk cases trigger early warnings based on unusual behavioral patterns, while medium-risk scenarios prompt real-time alerts during withdrawals. High-risk situations — including wallet addresses linked to “pig butchering” investment schemes — result in immediate withdrawal blocking and a mandatory one-hour cooling-off period. The exchange says this proactive approach shifts security from reactive damage control to real-time fraud prevention.

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well after 1B scam it sounds good