---
title: Blockstream Demands Hackers Return Remaining Bitcoin from Liquid Theft
url: >-
  https://www.cryptocatalyst.news/articles/2026-09-13-blockstream-demands-hackers-return-remaining-bitcoin-from-liquid-theft
canonical: >-
  https://www.cryptocatalyst.news/articles/2026-09-13-blockstream-demands-hackers-return-remaining-bitcoin-from-liquid-theft
date: '2026-09-13T18:30:28.168010+00:00'
category: bitcoin
tags:
  - blockstream
  - liquid
  - bitcoin
  - hack
  - security
source: Bitcoin Magazine
source_url: 'https://bitcoinmagazine.com/news/blockstream-tells-demands-bitcoin'
sources:
  - name: Bitcoin Magazine
    url: 'https://bitcoinmagazine.com/news/blockstream-tells-demands-bitcoin'
  - name: Bitcoin Magazine
    url: 'https://bitcoinmagazine.com/news/bitcoin-has-unusual-mix-says-coinshares'
publisher: CryptoCatalyst
summary: >-
  Blockstream demands hackers return the remaining Bitcoin stolen from the
  Liquid sidechain. Over 4,000 BTC were taken; hackers returned $270M but want a
  reward.
image: >-
  https://www.cryptocatalyst.news/images/articles/2026-09-13-blockstream-demands-hackers-return-remaining-bitcoin-from-liquid-theft.webp
generated_by: automated editorial pipeline
---
# Blockstream Demands Hackers Return Remaining Bitcoin from Liquid Theft

Blockstream is demanding that hackers return the remaining Bitcoin stolen from its Liquid sidechain. The hackers initially took over 4,000 BTC but have returned some, claiming a reward for their efforts. Blockstream is not willing to negotiate, insisting on the full return of the stolen funds.

## Key takeaways

- Blockstream demands hackers return the remaining Bitcoin stolen from the Liquid sidechain.
- Hackers initially stole over 4,000 BTC but returned $270 million worth.
- Blockstream refuses to pay any ransom or reward for the stolen funds.
- The incident highlights the risks and security challenges of sidechains.
- Blockstream is working with experts to recover the remaining stolen Bitcoin.

Blockstream, the company behind the Liquid sidechain, has publicly demanded that hackers return the remaining Bitcoin stolen in a recent breach. The hackers, who initially took over 4,000 BTC, have returned a portion but are holding onto some as a reward for their efforts. Blockstream is firm in its stance, refusing to negotiate and insisting on the full return of the stolen funds.

## What Happened in the Liquid Hack?

On September 9, 2026, hackers targeted Blockstream's Liquid sidechain, stealing approximately 4,000 BTC, valued at around $320 million at the time. The hackers claimed to be 'white hat' hackers, stating they exposed vulnerabilities in the system for ethical reasons. They returned $270 million worth of Bitcoin but are holding onto the rest, demanding a reward for their actions.

## Why Blockstream Is Unhappy

Blockstream has made it clear that it does not recognize the hackers' actions as ethical or justified. The company has refused to pay any ransom or reward, insisting that the remaining stolen Bitcoin must be returned in full. Blockstream's stance is supported by the broader crypto community, which generally views such hacks as criminal activities rather than ethical disclosures.

## What This Means for Liquid Users

For users of the Liquid sidechain, this incident highlights the risks associated with sidechains and the importance of security measures. While Blockstream has taken steps to address the vulnerabilities exposed by the hack, users should remain vigilant and ensure they follow best practices for securing their assets. The incident also serves as a reminder of the potential for large-scale thefts in the crypto space, even on platforms that are generally considered secure.

## What's Next for the Stolen Bitcoin?

Blockstream is working with law enforcement and cybersecurity experts to track the remaining stolen Bitcoin and recover the funds. The company has also implemented additional security measures to prevent similar incidents in the future. Users affected by the hack should monitor updates from Blockstream and follow any guidance provided to protect their assets.

For more on the initial hack and partial recovery, see our coverage [here](/articles/2026-09-07-liquid-hackers-return-270m-in-bitcoin-after-swiping-320-million).

## FAQ

### What is the Liquid sidechain?

The Liquid sidechain is a Bitcoin sidechain developed by Blockstream, designed to enable faster and more confidential transactions.

### How much Bitcoin was stolen in the Liquid hack?

Over 4,000 BTC, valued at around $320 million at the time of the theft.

### Why are the hackers holding onto some of the stolen Bitcoin?

The hackers claim they are holding onto some of the Bitcoin as a reward for exposing vulnerabilities in the Liquid sidechain.

### What is Blockstream doing to recover the stolen funds?

Blockstream is working with law enforcement and cybersecurity experts to track and recover the remaining stolen Bitcoin.

## Sources

This article synthesizes reporting from [Bitcoin Magazine](https://bitcoinmagazine.com/news/blockstream-tells-demands-bitcoin), [Bitcoin Magazine](https://bitcoinmagazine.com/news/bitcoin-has-unusual-mix-says-coinshares), written by an automated editorial pipeline. See https://www.cryptocatalyst.news/editorial-policy.

## How to cite

CryptoCatalyst.news, "Blockstream Demands Hackers Return Remaining Bitcoin from Liquid Theft", 2026-09-13, https://www.cryptocatalyst.news/articles/2026-09-13-blockstream-demands-hackers-return-remaining-bitcoin-from-liquid-theft
