A hacker managed to siphon thousands of bitcoins worth approximately $340 million from the Liquid Network, a settlement platform utilized by multiple cryptocurrency exchanges. This security breach ranks as one of the most substantial digital asset thefts recorded this year.
Operations were immediately halted as the network, developed by Blockstream, addressed the exploit. The unidentified individual conditioned the return of the funds upon the patching of the vulnerability. Company representatives later confirmed that the bug was resolved and the vast majority of the stolen assets were sent back, leaving a smaller portion under the hacker’s control.
The platform will remain offline until comprehensive security enhancements and system audits are completed. The incident highlights ongoing vulnerabilities within crypto settlement infrastructures and the unique dynamics of ethical versus malicious hacking.
- $340 million in bitcoin stolen from Liquid Network.
- Attacker exploited a critical software vulnerability.
- Most funds returned following the bug fix.
- Network operations paused pending full security audits.
Sources:
