The attacker who attacked the Liquid Network returned 3.4 thousand BTC ($272 million)

The hacker withdrew 4 thousand BTC ($320 million) from the protocol. The transaction included sending 4 thousand LBTC to its peg service. These are wrapped BTC from the Liquid Network. The service burned the tokens using valid peg authorization, after which the Liquid Federation paid out 3,996 BTC to the hacker’s bitcoin address.

Blockstream determined that the LBTC was created due to a software error.

The trading platform stated that its systems and the peg authorization key were not compromised. After that, the hacker demanded that the bug be fixed and returned 3.4 thousand BTC to them, keeping 598.5 BTC ($47.9 million) — 15%.