PENGU
ONDO
ADIBybit Review 2026: Fees, Security & Verdict
Bybit suffered the largest theft in crypto history — $1.5B in February 2025 — and didn’t lose a cent of customer money. This review looks at what that paradox means for counterparty risk, plus its derivatives execution, fees, and whether it deserves a top-two slot for active traders in 2026.
The derivatives favorite that survived crypto’s biggest hack — and proved its reserves the hard way.
What Makes Bybit Different
Bybit is the case study in ‘reserves vs. security’. Its perimeter failed — catastrophically — yet its balance sheet and crisis handling passed perfectly. For users, the practical lesson cuts both ways: the exchange proved it can absorb a nine-figure loss, but also that even top venues carry smart-contract and vendor-stack risk beyond their own walls. Bybit’s derivatives liquidity, especially in altcoin perps, remains the deepest outside Binance.
Beyond the hack story, Bybit earned its tier on execution: altcoin perpetual books are deep, fees sit at the cheap end of the industry, and the matching engine held up through the extreme volatility of 2024-2025 without the flash-crash wicks that plagued some rivals. Its user base skews toward active traders rather than first-time buyers. The trade-off is jurisdictional — exits from the UK, Canada and parts of Europe mean its availability map keeps shrinking as rules tighten.
Pros & Cons
Pros
- Elite derivatives execution: deep perp books, 0.02%/0.055% fees, and a matching engine that held up during the wildest volatility of 2024-2025
- Passed the ultimate stress test — absorbed the February 2025 $1.5B ETH hack without a single user losing funds or withdrawals halting
- Spot fees (0.1%/0.1%) competitive, with a rapidly expanding spot and earn lineup
Cons
- Regulatory status remains fluid: it has exited or restricted several jurisdictions (UK, Canada, parts of Europe) as rules tightened
- Derivatives-first DNA means the fiat on-ramp and beginner experience lag Coinbase/Kraken
- The hack revealed reliance on third-party custody signing (Safe) — a stack dependency worth understanding
Bybit Fees (2026)
Base tiers shown; volume tiers and exchange-token discounts can reduce fees further. Always confirm on Bybit’s official fee page before trading.
Security & Regulation
In February 2025 Bybit suffered the largest theft in crypto history: ~$1.5B in ETH drained from a cold wallet via a compromised Safe{Wallet} signing interface (attributed to North Korea’s Lazarus Group). The response is why Bybit still scores well here: withdrawals never stopped, client balances were honored 1:1 within hours via bridge loans and treasury funds, and proof-of-reserves was restored and verified within days. It was the closest thing to a real-time audit an exchange can undergo.
Bybit is registered in the British Virgin Islands and operationally headquartered in Dubai, where it holds a VARA license. It restricts US residents outright and has exited or limited service in the UK, Canada and several European markets as local rules tightened — check the restricted-countries list before funding. Identity verification is required for full trading and withdrawal limits.
Who Should Use Bybit?
Good for
- Active derivatives traders outside restricted jurisdictions who want deep perp liquidity
- Altcoin perp traders — books are the deepest outside Binance
- Traders who value a venue that has proven its solvency under real stress
Not ideal for
- Users in the US, UK, Canada and other restricted jurisdictions
- Beginners who need simple fiat on-ramps — the experience lags Coinbase/Kraken
- Long-term passive holders who don’t need derivatives-first tooling
How to Get Started on Bybit
- Create and verify your account. Sign up with an email and complete identity verification — but check the restricted-countries list first, since Bybit has exited several markets.
- Fund the account. Crypto deposits are the default route; fiat depends on your region through P2P trading or third-party payment providers.
- Start on spot before perps. Get comfortable with the interface on spot markets, then approach derivatives with low leverage — perp liquidations move fast.
- Harden security. Enable 2FA and an anti-phishing code, and keep long-term holdings in self-custody rather than on any exchange.
Our Verdict
For active derivatives traders outside restricted jurisdictions, Bybit is a top-two venue on execution quality. The 2025 hack is simultaneously the biggest red flag and the strongest proof of solvency on this list — weigh both. Spot traders get competitive 0.1% fees and a fast-growing earn lineup alongside. Confirm your country isn’t on the restricted list before funding, and keep long-term holdings in self-custody.
Outbound link is unaffiliated and marked nofollow. This review is independent editorial content.
FAQ
Is Bybit safe to use in 2026?
Bybit passed an involuntary stress test in February 2025: it absorbed a $1.5B theft without users losing funds or withdrawals stopping, and reserves were re-verified within days. The incident also exposed vendor-stack risk, so the honest answer is: solvent, but not risk-free.
Did Bybit users lose money in the 2025 hack?
No. Although ~$1.5B in ETH was stolen in February 2025, Bybit covered the full amount through treasury funds and emergency bridge loans. Withdrawals stayed open throughout, and client balances were never affected.
What are Bybit’s fees?
Spot is 0.1% maker / 0.1% taker. Perpetual futures are 0.02% maker / 0.055% taker — among the cheapest for active derivatives traders, with VIP tiers below that.
Can US residents use Bybit?
No. Bybit restricts US residents and operates no US entity; it has also exited or restricted the UK, Canada, and parts of Europe as rules tightened. Check its service-restricted countries list before funding an account.
Does Bybit require KYC?
Yes. Identity verification is required for full trading and withdrawal limits, and is effectively mandatory as Bybit has expanded its licensing footprint (including Dubai’s VARA regime). Anonymous high-limit trading is no longer available.
More Exchange Reviews
← Back to the full exchange comparison table