Cytolysis, or osmotic lysis, occurs when a cell bursts due to an osmotic imbalance that has caused excess water to diffuse into the cell.
Water can enter the cell by diffusion through the cell membrane or through selective membrane channels called aquaporins, which greatly facilitate the flow of water.
[1] It occurs in a hypotonic environment, where water moves into the cell by osmosis and causes its volume to increase to the point where the volume exceeds the membrane's capacity and the cell bursts.
Osmotic lysis would be expected to occur when bacterial cells are treated with a hypotonic solution with added lysozyme, which destroys the bacteria's cell walls.
Different cells and organisms have adapted different ways of preventing cytolysis from occurring.