importantSYS.SOURCE: The Hacker News• 2026-09-08T20:24:30+05:30

Liquid Network Hackers Return 3,400 BTC Amid Elements Bug Investigation

#bitcoin #vulnerability #blockchain

Liquid Network hackers returned 3,400 BTC (worth $265M) following a vulnerability in the Elements protocol, but still hold 598.5 BTC ($47M) reportedly as 'change' from the transaction. The incident involved a sidechain exploit affecting L-BTC reserves, with ongoing debates about whether the actors were white-hat researchers or extortionists.

Whoever took nearly 4,000 bitcoin from the Liquid Network on Sunday, September 6, returned 3,400 of it the next day, Bitcoin's public record shows. About 598.5 bitcoin has not come back.

Liquid is a Bitcoin sidechain that holds real bitcoin to back a token called L-BTC. The network is still paused, so holders cannot turn that token back into bitcoin.

The 3,400 bitcoin was sent to a&

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