Liquid Hacker Returns Most Stolen Bitcoin

The crypto address responsible for emptying Blockstream's Liquid federation wallet has just sent back the vast majority of the stolen funds. On chain data shows a transaction returning 3,400 bitcoin, while the attacker decided to keep 598 bitcoin from the initial haul.

What makes this event fascinating is how the talks took place. The two sides negotiated entirely inside bitcoin transactions using embedded messages, bypassing traditional communication channels completely.

Blockstream has remained quiet since their initial statement on Sunday evening and has not yet confirmed the details of the return. Traders should keep an eye out for an official statement from the company to see if they consider the matter closed.