Blockstream rejects ransom as Liquid hackers hold nearly 600 BTC
Blockstream said it will not pay a ransom to recover the remaining Bitcoin taken from the Liquid Network. It called the hackers’ demands “theft,” not responsible disclosure, and said it had tried to negotiate in good faith but would not accept their terms. The hackers had asked for a 10% bounty from Blockstream’s own funds and warned Liquid users would lose 15% otherwise. Blockstream urged them to return the funds voluntarily and said it would otherwise work with law enforcement, exchanges, service providers, and forensic experts to trace the assets and identify those involved. Liquid paused on Sept. 6 after self-described white-hat hackers withdrew about 4,000 BTC. About 3,400 BTC were later returned after patches were applied, leaving roughly 598 BTC missing. Liquid then resumed block production with emergency updates, but transfers and transactions remained suspended.
