Blockstream Refuses Ransom as 598 BTC Remain Missing from Liquid Network Exploit

Blockstream has refused to pay a ransom to attackers who exploited a vulnerability in its Liquid Network, leaving around 598.5 BTC still under their control.

The attack occurred on September 6 and drained nearly 4,000 BTC from federation reserves before the attackers returned about 3,400 BTC, representing roughly 85% of the stolen funds.

Blockstream has argued that paying a ransom would set a poor standard for open-source developers and encourage attacks in the future. The company also warned that it may pursue legal action if the remaining Bitcoin is not returned.