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Crypto DeFi

Liquid Network Restarts Block Production After $320M Exploit

Liquid Network resumed block production after deploying emergency software updates, but transactions and peg operations remain suspended while recovery efforts continue. The Bitcoin sidechain had halted operations following a $320 million exploit. No timeline has been given for restoring full functionality.

Original source

AI take

The restart of block production is a partial recovery, not a resolution: the distinction between producing blocks and restoring transactions or peg operations is where the real risk sits. For anyone relying on Liquid for settlement or BTC movement, the practical outage persists regardless of the restart headline. The open questions are how the emergency update was validated under time pressure and whether the peg resumes without further loss, since no restoration timeline has been offered.

Generated by AI for reference only.

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