Liquid Network Restores Full Bitcoin Backing Two Months After $320M Exploit

Decrypt11-03 11:22

In brief The Liquid Federation said the sidechain's Bitcoin reserves have been fully restored, reestablishing 1:1 backing for all LBTC after a September exploit. Purported white-hat hackers withdrew ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2680740255?lang=en_US&edition=fundamental","thumbnail":"https://img.decrypt.co/insecure/rs:fit:3840:0:0:0/plain/https://cdn.decrypt.co/wp-content/uploads/2025/05/Blockstream-CEO-Adam-Back-gID_7.png@webp","is_english":true,"pubTime":"2026-11-03 11:22","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2680740255","market":"nz","top_or_hot":-1,"title":"Liquid Network Restores Full Bitcoin Backing Two Months After $320M Exploit","media":"Decrypt","content":"<div>\n<p>In brief\nThe Liquid Federation said the sidechain's Bitcoin reserves have been fully restored, reestablishing 1:1 backing for all LBTC after a September exploit.\nPurported white-hat hackers withdrew ...</p>\n\n<a href=\"https://decrypt.co//382397/liquid-network-restores-full-bitcoin-backing-two-months-after-320m-exploit\">Source Link</a>\n\n</div>\n","source":"decrypt_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Liquid Network Restores Full Bitcoin Backing Two Months After $320M Exploit</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nLiquid Network Restores Full Bitcoin Backing Two Months After $320M Exploit\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-11-03 11:22 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://decrypt.co//382397/liquid-network-restores-full-bitcoin-backing-two-months-after-320m-exploit><strong>Decrypt</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>In brief\nThe Liquid Federation said the sidechain's Bitcoin reserves have been fully restored, reestablishing 1:1 backing for all LBTC after a September exploit.\nPurported white-hat hackers withdrew ...</p>\n\n<a href=\"https://decrypt.co//382397/liquid-network-restores-full-bitcoin-backing-two-months-after-320m-exploit\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"DFII","symbol_name":"FT Cboe Vest Bitcoin Strategy & Target Income ETF","start_time":0,"source_url":"https://decrypt.co//382397/liquid-network-restores-full-bitcoin-backing-two-months-after-320m-exploit","article_id":"2680740255","we_media_id":null,"thumbnails":["https://img.decrypt.co/insecure/rs:fit:3840:0:0:0/plain/https://cdn.decrypt.co/wp-content/uploads/2025/05/Blockstream-CEO-Adam-Back-gID_7.png@webp"],"rights":{"source":"decrypt_highlight","url":"https://decrypt.co//382397/liquid-network-restores-full-bitcoin-backing-two-months-after-320m-exploit","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2680740255","pubTimestamp":1793676130,"columns":[],"sourceInfo":{"source_id":"decrypt_highlight","name":"Decrypt"},"weMediaInfo":null,"summary":"The Liquid Network's Bitcoin reserves have been fully restored, two months after self-described white-hat hackers drained most of them, the Liquid Federation said on Monday.\nThe federation said it had reestablished 1:1 Bitcoin backing for all LBTC, the token that represents Bitcoin on Liquid. The milestone follows the restoration of swaps between BTC and LBTC at a 1:1 rate through participating providers several weeks ago, it said.\n\nUpdate from the Liquid Federation:\nThe Liquid Federation is ple...","collect":0,"end_time":0,"defaultTopTitle":"decrypt.co","property":[],"viewcount":null,"language":"en","relate_stocks":{"DFII":"FT Cboe Vest Bitcoin Strategy & Target Income ETF","GBTC":"比特币ETF-Grayscale","CBOJ":"Calamos Bitcoin Structured Alt Protection ETF - January","BTF":"比特币&以太币期货ETF-CoinShares","CBTA":"Calamos Bitcoin 80 Series Structured Alt Protection ETF – April","BCCC":"Global X Bitcoin Covered Call ETF","IBIT":"比特币ETF-iShares","CBTJ":"Calamos Bitcoin 80 Series Structured Alt Protection ETF - January","MAXI":"比特币期货ETF-Simplify","BTCL":"T-REX 2X LONG BITCOIN DAILY TARGET ETF","BITX":"2倍比特币期货ETF-Volatility Shares","XBTY":"GraniteShares YieldBOOST Bitcoin ETF","DEFI":"比特币期货ETF-Hashdex","BTCI":"NEOS Bitcoin High Income ETF","BTRN":"比特币期货ETF-Global X","BITY":"Amplify Bitcoin 2% Monthly Option Income ETF","BTCO":"比特币ETF-Invesco Galaxy","HODL":"比特币ETF-VanEck","CBOO":"Calamos Bitcoin Structured Alt Protection ETF - October","BITB":"比特币ETF-Bitwise","CBTO":"Calamos Bitcoin 80 Series Structured Alt Protection ETF - October","BETE":"等权重比特币&以太币期货ETF-ProShares","YBTC":"比特币看涨期权ETF-Roundhill","BITC":"Bitwise Trendwise Bitcoin and Treasuries Rotation Strategy ETF","CBTY":"Calamos Bitcoin 80 Series Structured Alt Protection ETF - July","BFJL":"FT Vest Bitcoin Strategy Floor15 ETF - July","MNRS":"GRAYSCALE BITCOIN MINERS ETF","BETH":"比特币&以太币期货ETF-ProShares","CBXA":"Calamos Bitcoin 90 Series Structured Alt Protection ETF – April","BTCW":"比特币ETF-Wisdom Tree","CBOY":"Calamos Bitcoin Structured Alt Protection ETF - July","FBTC":"比特币ETF-Fidelity","EZBC":"比特币ETF-Franklin","CBXJ":"Calamos Bitcoin 90 Series Structured Alt Protection ETF - January","BTCZ":"T-Rex 2X Inverse Bitcoin Daily Target ETF","BITO":"比特币期货ETF-ProShares","QBF":"Innovator Uncapped Bitcoin 20 Floor ETF - Quarterly","BTC":"Grayscale Bitcoin Mini Trust","CBXO":"Calamos Bitcoin 90 Series Structured Alt Protection ETF - October","BAGY":"Amplify Bitcoin Max Income Covered Call ETF","BRRR":"比特币ETF-CoinShares","SBIT":"2倍做空比特币期货ETF-Proshares","BTCC":"Grayscale Bitcoin HIGH Income ETF","BFAP":"FT Vest Bitcoin Strategy Floor15 ETF - April","BPI":"Grayscale Bitcoin Premium Income ETF","ARKB":"比特币ETF-21Shares","CBOA":"Calamos Bitcoin Structured Alt Protection ETF - April","BITU":"2倍做多比特币期货ETF-Proshares"},"translate_title":"Liquid Network 在 3.2 亿美元漏洞两个月后恢复了全面比特币支持","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BITU":0.6,"BTCI":0.6,"MNRS":0.6,"GBTC":0.6,"CBTO":0.6,"HODL":0.6,"CBOY":0.6,"CBOO":0.6,"BETE":0.6,"BETH":0.6,"BITO":0.6,"CBOJ":0.6,"BITB":0.6,"CBTY":0.6,"CBXO":0.6,"DEFI":0.6,"CBTJ":0.6,"BRRR":0.6,"IBIT":0.6,"BTF":0.6,"QBF":0.6,"SBIT":0.6,"MAXI":0.6,"BTCL":0.6,"CBOA":0.6,"BITX":0.6,"BTC":0.6,"BTRN":0.6,"CBXJ":0.6,"CBTA":0.6,"YBTC":0.6,"BCCC":0.6,"CBXA":0.6,"FBTC":0.6,"BTCW":0.6,"BITY":0.6,"EZBC":0.6,"ARKB":0.6,"BTCC":0.6,"XBTY":0.6,"DFII":0.6,"BFAP":0.6,"BFJL":0.6,"BAGY":0.6,"BTCO":0.6,"BTCZ":0.6,"BITC":0.6,"BPI":0.6},"content_text":"In brief\nThe Liquid Federation said the sidechain's Bitcoin reserves have been fully restored, reestablishing 1:1 backing for all LBTC after a September exploit.\nPurported white-hat hackers withdrew about 4,000 BTC from the federation wallet in September, returning 3,400 BTC but keeping around 598 BTC.\nBack said key systems have been hardened and audited, and urged developers to treat AI-suggested fixes \"with suspicion.\"\nThe Liquid Network's Bitcoin reserves have been fully restored, two months after self-described white-hat hackers drained most of them, the Liquid Federation said on Monday.The federation said it had reestablished 1:1 Bitcoin backing for all LBTC, the token that represents Bitcoin on Liquid. The milestone follows the restoration of swaps between BTC and LBTC at a 1:1 rate through participating providers several weeks ago, it said.\nUpdate from the Liquid Federation:\nThe Liquid Federation is pleased to announce that the network’s bitcoin reserves have been fully restored, reestablishing 1:1 BTC backing for all LBTC.\nThis follows the restoration of BTC<>LBTC swaps several weeks ago, which have since allowed…\n— Liquid Network 🌊 (@Liquid_BTC) November 3, 2026Blockstream CEO Adam Back, whose company develops the technology behind Liquid, posted a screenshot of the network's dashboard showing assets matching liabilities at 100%, with a reserve deficit of 0.00 BTC. Users running their own Liquid nodes can verify the federation's reserves directly, the federation said.It did not say how the shortfall left by the hack was covered.Launched by Blockstream in 2018, Liquid is a Bitcoin sidechain, a separate blockchain that runs alongside Bitcoin, designed for faster and more private transfers. Users lock up BTC in a wallet controlled by the federation, a group of exchanges and other crypto companies that run the network, and receive the same amount of LBTC in return.Asked on X what would stop a repeat of the hack, Back listed three hardened \"lines of defense\": refreshed peg-out authorization keys now held in cold hardware wallets, disabled proof validation caches along with a bug fix for nodes, and consensus rules that have been hardened to \"fail closed.\" The network has also been through multiple third-party audits, he said.\"And lesson: treat with suspicion (don't trust, verify) AI suggested fixes,\" Back wrote.Predict·CryptoBTC Highs in November77,50095%YesNo80,00072%YesNo82,50051%YesNo85,00035%YesNo87,50022%YesNo+6 more outcomes+5 more outcomesNEW$0.00 volumeDec 1Closes: Dec 1, 2026, 04:59 UTCCloses: Dec 1, 2026, 04:59 UTCBack had pointed to AI's growing role in security in an interview with Bloomberg Television on October 20, describing \"a wave of AI-assisted security analysis\" over the previous couple of months. \"AI, of course, is a tool to help develop code and to secure the code, but also it can be used to find defects,\" he said, adding that it had been \"affecting many companies in the sector.\" He said then that the hacked funds remained \"under investigation.\"The federation said it is modernizing Liquid's governance structure, introducing clearer responsibilities and oversight, and adding further technical and operational safeguards, with more details to come in the coming weeks.The September exploitOn September 6, purported white-hat hackers withdrew about 4,000 BTC, then worth around $320 million, from Liquid's federation wallet, communicating with Blockstream through PGP-signed messages embedded in Bitcoin transactions.BitcoinBTC · USD$77,216−3.37%24H7D1M1YYTDOct 27Oct 29Oct 31Nov 1Nov 3$81.8k$80.0k$78.3k$76.6k24h HighHigh$78,12024h LowLow$76,303VolVol$1.1B→Buy Bitcoin with USDCPowered by Jupiter$50$100$500BuyPrice data by CoinGeckoCoinGeckoMore Bitcoin news and projections →The next day, they returned 3,400 BTC, worth about $269 million, after Blockstream said Liquid's bridge nodes had been patched, but kept roughly 598 BTC. Ledger CTO Charles Guillemet said that if the remaining coins were a negotiated reward, the arrangement looked \"more like extortion than white-hat hacking.\"Blockstream later refused to pay a ransom for the outstanding Bitcoin. \"Taking assets without authorization and withholding their return is a crime, not responsible disclosure,\" the company said. \"It is not white-hat activity. It is theft.\"Daily Debrief NewsletterStart every day with the top news stories right now, plus original features, a podcast, videos and more. Email addressJoin freeJoin 72,000+ readersCreate an account to save your articles.Add on GoogleAdd Decrypt as your preferred source to see more of our stories on Google.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":false,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"isVideo":false,"video":null,"symbols":[],"gpt_button":0,"need_auth":false,"need_login_tip":false,"code":"91000000","status":"200"},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"isLaohu8Offline":false,"tenantId":"TBGLOBAL","deviceId":"web-server-community-laohu8-v3","version":"4.52.1","shortVersion":"4.52.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2680740255","isCrawlerRequest":true}