The timeline of the Liquid Network theft incident: how an abnormal minting process withdrew nearly 4,000 BTC
A vulnerability in Elements software led to approximately 4,000 BTC being transferred out of Liquid Network. The attacker later claimed to be a "white hat" and demanded that Blockstream return the funds after fixing the vulnerability. So far, 3,400 BTC have been recovered, but about 598.5 BTC remain in the hands of the attacker. The incident has also sparked controversy within the industry regarding the boundaries of "white hat" vulnerability disclosure.