Liquid Network Hacked, $320 Million in Crypto Withdrawn

Liquid Network, a Bitcoin-based payments and settlement network, announced on September 7 that it had been hacked. The attackers withdrew approximately $320 million in cryptocurrency from its federation wallet.

The hackers claimed to be 'white-hat' but the company remains cautious, stating that they are sorry for any inconvenience caused by the hack. Around 4,000 of the 4,200 Bitcoin held in the Liquid Federation wallet were withdrawn through SideSwap, a settlement platform authorized to process withdrawals from the network.

Liquid Network emphasized that the key used to carry out the withdrawal was not compromised. The company has suspended new transactions to prevent further unauthorized access.