Blockstream Rejects Ransom Demands After 4,000 BTC Heist
Blockstream has taken a firm stance against hackers who stole nearly 4,000 BTC from the Liquid Network on September 6, 2026. The attackers extracted the funds from the federation wallet and initially reimbursed 3,400 BTC after Blockstream deployed security patches to affected bridge infrastructure.
The remaining balance of approximately 598.5 BTC is still in the attackers' control, valued at around $47 million at the time of reimbursement. In a recent ultimatum, the hackers demanded a 10% bounty payment from Blockstream's treasury or threatened Liquid users with permanent 15% losses.
Blockstream has rejected the ransom demands, characterizing the incident as 'criminal theft' and stating that open-source software maintainers should not face extortion after vulnerability exploitation. The company plans to collaborate with authorities, cryptocurrency exchanges, and blockchain forensic experts to trace the stolen assets.