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The Bitcoin sidechain has been paused, with exchanges suspending LBTC deposits and withdrawals as Blockstream works to contact those responsible.
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The Block
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The Bitcoin sidechain has been paused, with exchanges suspending LBTC deposits and withdrawals as Blockstream works to contact those responsible.
Web3 is Going Just Great
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An unauthorized withdrawal of 3,998.5 BTC (~$320 million) from the Liquid Network, a bitcoin sidechain, prompted a network halt. By disabling nodes that bridge between Liquid and the bitcoin mainchain, attackers are limited in their ability to cash out via bridge. Blockstream, the developers of Liquid Network, also said they had contacted exchanges to ask them to pause LBTC deposits and withdrawals, cutting off another avenue. The unauthorized transaction included a message reading "we are white
LCX Exchange
Bitcoin sidechain Liquid pauses after purported ‘white hats’ withdraw $320M in BTC
unchainedcrypto.com
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Liquid Sidechain Frozen After ‘White Hat’ Drains Bitcoin Reserve