Liquid Network: 4000 BTC Withdrawn in Security Incident
Liquid Network reports 4000 BTC withdrawn via SideSwap PAK in purported white-hat action; Blockstream contacts hackers on-chain while pausing sidechain activity.
SourceAnalysis
Blockstream confirmed a security incident on the Liquid Network sidechain after purported white-hat hackers withdrew roughly 4000 BTC valued at $320 million from the Federation wallet using the SideSwap Peg-out Authorization Key without compromising any keys.
Exchanges have already halted LBTC deposits and withdrawals while bridge nodes remain disabled, effectively pausing the sidechain; other assets including USDT and RWAs stay unaffected as Federation members work to restore operations and monitor activity on mempool.space.
With BTC trading at $79344.36 inside the Bollinger Bands and testing the upper resistance at $80632.7, the neutral RSI at 47.5 combined with the MACD death cross signals limited momentum; price sits just above the EMA50 support at $79060.94 while the EMA200 at $73670.53 offers deeper long-term floor, suggesting a likely consolidation or retracement toward that 50-EMA level before any decisive continuation.
Eric Balchunas
@EricBalchunasBloomberg's Senior ETF Analyst and acclaimed author, co-hosting Trillions & ETF IQ while bringing deep institutional investment insights.
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