Bybit finds 16 blockchains with power to freeze user funds

After analyzing 166 blockchains, Bybit’s Lazarus Security Lab found 16 networks that can freeze or restrict user funds, raising questions about decentralization.

A security research team at major crypto exchange Bybit has identified 16 blockchain networks that are technically capable of freezing or restricting user funds.

Bybit’s Lazarus Security Lab on Tuesday released a report examining the impact of the fund freezing ability across multiple blockchains, analyzing a total of 166 networks.

Using AI-driven analysis combined with manual review, the Bybit security team found that networks like Binance-backed BNB Chain are hardcoded with freezing functions.

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