Bybit recaptured major trading volume and market equilibrium after the crypto history’s most significant hacking event occurred. The detailed postmortem liquidity analysis by Block Scholes focuses on how Bybit aggressively secured exchange liquidity through crisis situations. Bybit successfully regained its market position and boosted trading liquidity during times of difficult macroeconomic conditions.
The case study scrutinizes the quick effects of the security breach on Bybit followed by their recovery strategy and their exchange performance against competitors. The used analysis demonstrates the incident caused short-term volumes and order book depth problems but the exchange restored its liquidity metrics swiftly over the course of weeks. markets experienced a short duration of reduced market share which transpired into a rapid expansion to near double its bottom during the hack recovery period.
A recent report established that the hack created brief yet strong interruptions to both trading volumes and order book depths in BTC and ETH markets yet major token bid-ask spreads avoided substantial changes. Bybit restored its position in total spot trading through the on-time implementation of Retail Price Improvement (RPI) orders according to a recent report.
RPI Orders: Enhancing Liquidity for Retail Traders
The quick recovery of Bybit following its security event can be credited mainly to its innovative Retail Price Improvement (RPI) mechanism according to Block Scholes’ evaluation. Bybit users received access to exclusive RPI orders shortly before the security breach occurred because these orders target retail traders using the platform interface.
Manual retail traders have exclusive access to the leveled-up liquidity market created by RPI orders while institutional traders along with algorithmic API traders remain unable to participate in these pools of capital. The special order configuration benefits retail traders through superior market prices for purchase and sale transactions. Native capital segmentation at Bybit generated more liquidity for the platform through various types of capital inflow.
The RPI order system gained control of major trading markets which included BTC, ETH, SOL and DOGE. Analysis from the report indicates that RPI orders occupied more than half of the order book depth extending from the mid-price across 5-10 basis points and between 5 and 30% at 5 basis points. The retail-first approach of Bybit made them pioneer the innovative method to improve exchange liquidity for public access to cryptocurrency trading.
The RPI feature contains 3-stall liquidity which demonstrates three price levels for both bids and asks situated within the order book. The introduction of RPI orders on February 20, 2025 brought positive effects to retail trader liquidity while strengthening the order book’s depth.
Regaining Spot Market Share
Block Scholes data shows Bybit has regained its market position to 7% from the previous low of 4% which occurred after their hacking incident. The main cryptocurrency market indicators showing bid-ask spread and order depth recovered to standard conditions exactly one week after the security breach transpired. Bybit achieved its rapid recovery through RPI orders deployment as both factors served to restore trader confidence and drive up trading volumes in just several weeks after the hack.
About Bybit
With 60 million active users worldwide Bybit holds the position as the second-largest trading platform regarding volume. Bybit launched its operations in 2018 as a commitment to transform the decentralized ecosystem through a simple platform which ensures equality and openness for all users. The exchange dedicates itself to Web3 functionalities through its collaboration with major blockchain protocols to enable innovation that improves blockchain experiences. Bybit enables users to access the complete potential of Web3 using its secure blockchain solutions along with valuable cryptocurrency tools within a platform designed for simplicity.
Descubra mais sobre
Assine para receber nossas notícias mais recentes por e-mail.