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Security Incident · Blockchain

Liquid Network Elements Software Vulnerability: $320.00M Reported Loss

·Historical incident record

Incident Overview

Bitcoin sidechain Liquid Network was exploited via an Elements range-proof verification cache bug, allowing creation of about 4,000 unbacked LBTC. The actor then used SideSwap’s standard peg-out path to withdraw about 4,000 BTC ($320,000,000) from the federation reserve. Liquid said no private keys were compromised. The actor, claiming to be a white hat, returned 3,400 BTC on September 7 and still holds about 598.5 BTC ($47,000,000). The network remains paused.

Sources & References

Original incident referencehttps://x.com/Liquid_BTC/status/2097404704028545175 (opens in a new tab)

This record presents information attributed to the linked sources. Incident dates describe the original event, not a new report. Reported loss figures reflect the source record and are not current market valuations.

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