The cryptocurrency market experienced a significant downturn on Friday as Bitcoin plunged nearly $14,000 following a hacking incident involving ByBit’s cold wallet. This event triggered widespread market sell-offs, particularly impacting altcoins. Binance founder CZ expressed skepticism about Safe’s recent security updates amidst this volatility. SAFE Coin, already down 46% in the past month, saw further losses after the breach, with concerns about its reliability arising from reports of framework vulnerabilities contributing to the ByBit hack. CZ’s doubts about Safe’s reassurances intensified anxieties regarding wallet security in general. The incident has led to a surge in interest for decentralized wallets as users seek self-custody, raising questions about the viability and security of these platforms. ByBit’s breach highlights the urgent need for robust security protocols to regain user trust in cryptocurrency wallets. This event may prompt significant changes in wallet design and asset protection methods within the market.