Blockstream Refuses Ransom Demand for Stolen Liquid Network Bitcoin
Blockstream has refused to pay a ransom for the approximately $47 million worth of Bitcoin that was stolen from its Liquid Network sidechain in September. The company views the incident as theft, not a vulnerability disclosure, and is seeking the return of funds through law enforcement agencies, exchanges, services, and blockchain investigation specialists.
The attack on Liquid Network resulted in the unauthorized withdrawal of about 4,000 BTC, worth around $320 million at the time. Most of the funds were later returned, but approximately 600 BTC remain under the attackers' control.
Blockstream emphasized that seizing assets without permission and withholding their return is a crime, not responsible disclosure. The company is working to track down the stolen Bitcoin using its transparency on the blockchain, which leaves visible traces of every transfer.