Crypto exchange Bybit said it recovered $300 million for thousands of users in 2025 using an artificial intelligence-powered fraud detection system designed to intercept scams before funds are lost.
The exchange reported that during the fourth quarter alone it flagged $500 million in withdrawals for review, successfully intercepting and recovering $300 million that protected more than 4,000 users.
“We raised the standard in 2025, intercepting $300M in impersonation scams and fraud through our new AI-driven risk framework,”
Bybit said in a statement on social media.
The company said its proprietary AI models identified 350 high-risk investment fraud addresses using on-chain data, shielding about 8,000 people from potential withdrawal losses.
Bybit also reported blocking more than three million credential-stuffing attempts tied to account takeover schemes throughout 2025 as part of its wider security initiative.
In addition, the system automatically labelled 350 suspicious wallet addresses and manually flagged another 600 through internal investigations to prevent roughly $1 million in imminent fraud losses.
The report comes as crypto fraud remains widespread across the industry, with Chainalysis estimating that about $17 billion in digital assets was lost to scams and fraudulent schemes in 2025.