Blockstream Liquid Network drained of 4,000 BTC, hackers keep $47 million
Blockstream's Liquid Network got hit hard on September 6: hackers created fake L-BTC tokens and swapped them for 4,000 bitcoin, draining $320 million.
After a quick fix, most funds were returned, but the hackers kept about $47 million and blamed Blockstream for not securing its massive $5 billion in assets.
Hackers demand 10% bounty, claim white-hat
The hackers started out talking privately with Blockstream, but then switched to public messages on the bitcoin blockchain.
Now they're demanding a 10% bounty to give back what's left and say their actions were because Blockstream ignored security issues.
They claim to be white-hat hackers trying to help, but experts like Charles Guillemet call it extortion.
Meanwhile, Blockstream is working on recovery plans and warning users about scams popping up after the breach.