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Is Bybit’s 500x Leverage on US Stocks and Gold a Game-Changer – or Disaster?

Bybit is expanding into stock and commodity trading, aiming to rival traditional platforms and diversify its offerings beyond crypto.

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Jimmy Aki

Author

Jimmy Aki

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Jimmy has nearly 10 years of experience as a journalist and writer in the blockchain industry. He has worked with well-known publications such as Bitcoin Magazine, CCN, and Blockonomi, covering news...

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Last updated:

May 4, 2025

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Key Takeaways:

Bybit will support trading of U.S. stocks and commodities by mid-2025.
The platform’s security overhaul follows a $1.5 billion hack.
AI tools and 500x leverage target high-risk traders.

Crypto exchange Bybit is expanding beyond digital assets to offer trading in traditional financial instruments like U.S. stocks and commodities.

CEO Ben Zhou revealed the new feature during a livestream on May 3. It is scheduled to go live by the end of the second quarter (Q2) of 2025.

Can Bybit Outpace eToro and Kraken in Hybrid Trading?

Zhou confirmed that users will soon be able to trade blue-chip U.S. stocks like Apple and MicroStrategy, along with commodities such as gold and crude oil.

《Ben 哥有话说》第 32 期：资金流入大涨，巴西 Tomorrowland 电音节、黄金热潮及精彩内容！ https://t.co/nFQ8luQksc
— Bybit 华语 (@Bybit_ZH) May 3, 2025

This expansion will run through Bybit’s existing infrastructure, including the MetaTrader 5 (MT5) platform, which is already familiar to leveraged gold traders.

Zhou revealed that Bybit will offer up to 500x leverage on select instruments, making it one of the most aggressive platforms catering to high-risk, high-reward strategies.

“We want to bring Wall Street to Web3,” the CEO said during the 44-minute livestream.

Bybit’s transformation places it in direct competition with fintech firms like Robinhood and eToro, which already offer a blend of crypto and traditional investment options.

eToro, for instance, saw 96% of its revenue in 2024 originate from crypto trading, even while offering U.S. customers access to assets like Bitcoin (BTC), Bitcoin Cash (BCH), and Ethereum (ETH). Since 2013, it has built a hybrid identity offering over 70 digital assets alongside equities.

Meanwhile, Kraken, currently ranked the 13th-largest centralized crypto exchange by volume, recently ventured into traditional finance by adding over 11,000 U.S.-listed stocks and ETFs in April with zero commission.

Trade euro, pound, aussie, yen, and swiss 24/7 with no expiries and up-to 50x leverage 🌍🌏 https://t.co/IItsvsmWor
— Kraken Exchange (@krakenfx) April 25, 2025

It also launched perpetual forex futures (e.g., EUR/USD and GBP/USD) on its Kraken Pro platform to fuse equities, currencies, and crypto into one seamless trading experience.

Bybit’s Post-Hack Choice: Ditch NFTs, Double Down on AI

Bybit is not relying on financial products alone to drive its growth. The platform is heavily integrating artificial intelligence tools such as CryptoLens and TradeGPT to provide real-time analytics and investor support.

Its AI agent now supports more than 20 languages and assists with translation for content, updates, and announcements, helping Bybit maintain relevance in over 160 countries.

Despite its ambition, Bybit is still recovering from a $1.5 billion ETH hack it suffered in February, the largest in crypto history.

In an April 21 update, Zhou revealed that 68.57% of the stolen funds remain traceable, while 27.59% have “gone dark.”

4.21.25 Executive Summary on Hacked Funds:
Total hacked funds of USD 1.4bn around 500k ETH. 68.57% remain traceable, 27.59% have gone dark, 3.84% have been frozen. The untraceable funds primarily flowed into mixers then through bridges to P2P and OTC platforms.
Recently, we have…
— Ben Zhou (@benbybit) April 21, 2025

The laundered ETH passed through Wasabi, CryptoMixer, Tornado Cash, and Railgun before entering OTC and P2P exchanges via platforms like Thorchain and SunSwap.

Following the attack, Bybit shut down its NFT Inscription and Initial DEX Offering (IDO) marketplaces on April 1, citing efforts to “streamline offerings.”

However, the timing has led many to believe the closures were linked to the fallout from the hack.

Bybit directed users to platforms like OpenSea, Blur, Magic Eden, and Unisat for future NFT trading.

The move mirrors broader retrenchment in the NFT space, including the closures of Kraken’s NFT marketplace and LG’s Art Lab.

Frequently Asked Questions (FAQs)

Will Bybit’s 500x leverage trigger regulatory scrutiny?

Bybit’s 500x leverage on stocks and commodities is extremely high compared to traditional financial markets. Such high leverage increases the risk of large losses for retail investors and may prompt regulators to assess whether adequate risk disclosures and safeguards are in place.

Can Bybit regain trust after its $1.5B hack?

Bybit’s CEO publicly disclosed the breach quickly and reassured users that the exchange remained solvent and client assets were fully backed, which is key to maintaining trust during crises.
The crypto exchange also replenished its reserves through emergency loans and large deposits, verified by independent audits to confirm full collateralization of client assets, allowing continued withdrawals and operations despite panic from users.