Liquid Network Restarts After Major BTC Exploit
- Liquid network resumed block production after a 4,000 BTC exploit halted operations.
- The hacker returned 3,400 BTC but demanded a 10% bounty for returning the remaining funds.
- Blockstream pledged to cover all L-BTC at a one-to-one ratio with BTC.
- Peg operations remain suspended as the network works on restoring the BTC/LBTC reserve.
- The hacker criticized Blockstream’s security budget, highlighting only $1.5 million was allocated to secure $5 billion in assets.
The Liquid network has begun resuming its operations after a significant hacking incident involving Bitcoin. The hacker returned most of the stolen funds but retained nearly 600 BTC, demanding a bug bounty in return for their full cooperation.
Blockstream is actively working to patch vulnerabilities and restore full functionality while ensuring user confidence by covering L-BTC holdings one-to-one with Bitcoin assets. (Source)
