Liquid Network says Bitcoin peg-outs remain suspended after September exploit while security audit continues
first published 2026-09-29T07:46:54Z
Liquid Network reports that an independent external security audit of Elements v23.3.4 is underway, and the Liquid Federation is replacing Peg out Authorization Key entries and moving peg out keys into cold storage. Peg-outs are still suspended following the September exploit that resulted in roughly 4,000 BTC being withdrawn from the federation reserve, and no restart date has been announced.
AI Analysis
Peg-outs remain suspended after an exploit that withdrew roughly 4,000 BTC from the federation reserve, and no restart date has been set. The article describes an active security response and audit, but the immediate effect is continued disruption.
Expected Investor Sentiment: Bearish
Potential Market Impact: Significant
