Bybit finds 16 blockchains with power to freeze user funds
- EXCHANGE
Overview
Bybit’s Lazarus Security Lab conducted an analysis of 166 blockchains and identified 16 networks that possess the capability to freeze or restrict user funds. This discovery has raised significant concerns regarding the principles of decentralization within the cryptocurrency ecosystem.
Findings from the Analysis
The study performed by Bybit’s Lazarus Security Lab highlights a critical aspect of blockchain technology—the ability of certain networks to impose restrictions on user funds. Out of the 166 blockchains analyzed, the existence of 16 networks with such capabilities was confirmed. This finding is particularly noteworthy as it challenges the fundamental notion of decentralization that many cryptocurrencies advocate.
The implications of these findings are substantial, as they suggest that not all blockchains operate under the same principles of user autonomy and immutability. The ability to freeze or restrict funds could undermine trust in these networks and their commitment to decentralization.
Impact on the crypto market
- Raises questions about the true decentralization of certain blockchain networks.
- May lead to increased scrutiny of blockchain projects by users and investors.
- Could influence user decisions regarding which networks to engage with for transactions and investments.
- Highlights the need for transparency in blockchain governance and operations.
- May prompt discussions around regulatory compliance and its impact on decentralization.
Updated: 11/13/2025, 4:29:04 AM
