Liquid restores 1:1 Bitcoin backing, but wallet refills remain manual
SideSwap said Liquid Network’s reserve again matches L-BTC in circulation: 4,270.54 BTC backing 4,270.54 L-BTC as of Nov. 3. Deposits of 300 BTC and 250 BTC on Nov. 2 helped restore the 1:1 backing after a Sept. 6 Elements software flaw enabled about 4,000 unbacked L-BTC to be created and converted through SideSwap. SideSwap’s conversion service has operated since Oct. 20, charging a 0.1% fee, but direct Federation peg-outs remain restricted. Customer payouts therefore come from SideSwap’s own Bitcoin wallet and may be delayed until it is replenished; the provider gives no guaranteed completion time. Federation peg-outs will resume only after outstanding security and operational requirements are met, and SideSwap says their return date is unknown.
