4,000 Bitcoin Stolen from Liquid Network, Transactions Halted

Liquid Network, a Bitcoin-focused sidechain solution, has announced that approximately 4,000 Bitcoin were stolen from its federation wallet. Attackers reportedly exploited a security vulnerability in the network to seize assets worth around $320 million. Following the incident, new transactions on the network have been temporarily suspended. Prior to the attack, the federation's reserve held approximately 4,200 Bitcoin, indicating that a significant portion of the reserve was removed in a single event. While it has been stated that USDT, DePix, and certain real-world asset tokens on Liquid Network were not directly affected by this security breach, temporary issues with transfers may occur due to the network halt. Attention is now focused on determining the technical cause of the incident, the date when Liquid Network will resume operations, and whether the stolen Bitcoin will be returned to the federation wallet. In cryptocurrency markets, such security breaches can negatively impact investor confidence and lead to price fluctuations for the affected assets. This is not investment advice.