NewsHK
Federated custody security is the live question across Bitcoin's network layer.
A group identified as white hats has returned $270 million in Bitcoin to Liquid's federation wallet following a security incident, recovering 85% of the funds originally withdrawn. The network is now preparing a restart.
The remaining 15% is the figure to watch. A voluntary return at 85% places the event closer to a vulnerability disclosure than to an outright theft, but partial recovery is partial recovery.
How the outstanding balance is settled will determine how the sector ultimately classifies the incident and what it implies for federated custody architecture going forward.
Keep reading