BTC Flows & Cycles

Liquid Sidechain Pauses After Attempted $320M BTC Withdrawal

Liquid Sidechain Pauses After Attempted $320M BTC Withdrawal

Liquid reportedly paused peg activity after an attempted withdrawal of roughly 4,000 BTC, approximately 95% of the federation wallet, tied to an Elements vulnerability and invalid L-BTC creation. Nodes were instructed to patch and the attacker reportedly demanded remediation before returning funds; recovery, final losses and safeguards remain unresolved.

Sources (2)
Updated Sep 8, 2026