Blockstream Stands Firm Against Liquid Hackers' Ransom Demand
Blockstream has announced that it will not pay a ransom to recover funds held by hackers on the Liquid Network. The hackers, who claim to be 'white-hat', withdrew approximately 4,000 BTC (Bitcoin) from the federation wallet of Liquid on September 6th, causing the network to pause operations.
After Blockstream patched affected bridge nodes, the hackers returned 3,400 BTC, leaving around 598 BTC outstanding. The hackers have since demanded that Blockstream pay a 10% bounty from its own funds in exchange for the return of the remaining Bitcoin.
Blockstream has rejected this demand, labeling it as 'theft' rather than 'white-hat activity'. The company urges the hackers to voluntarily return the remaining assets and threatens to work with law enforcement and forensic specialists if they do not comply.