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Blockstream refuses ransom demand for 598.5 BTC stolen in Liquid Network hack

Market News
11 Sep 2026
Unchained
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Bearish
Blockstream refuses ransom demand for 598.5 BTC stolen in Liquid Network hack

Blockstream announced it will not pay a ransom for the roughly 598.5 BTC still held by hackers after the Liquid Network exploit, calling the withholding of coins theft rather than responsible disclosure. The hackers stole about 4,000 BTC from a federation wallet on September 6, returning 3,400 BTC after Blockstream patched its systems. Blockstream warned that paying a 10% ransom would set a dangerous precedent and said it will collaborate with law enforcement and forensic experts to recover the funds. Meanwhile, Liquid has resumed block production without transactions while peg operations remain suspended until the BTC reserve is restored.

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