BTCPay Backers Offer Bitcoin Bounty After Wallet Exploit

In brief

• BTCPay Server supporters offered 10% of recovered funds, capped at 3 BTC.
• Attackers stole Bitcoin using credentials taken from vulnerable LND servers.
• Users running affected software should update to version 2.4.2 immediately.

BTCPay Server supporters are offering 10% of any funds recovered, capped at 3 BTC currently worth around $190,000, if all the Bitcoin stolen in a recent exploit is returned.

In a post on X on Monday, BTCPay said the offer extends to anyone with information that could help recover the funds, including the attacker.

“We will examine our mistakes, but regret alone will not help affected users or secure the project,” the company wrote. “There is no time to waste. We have to learn, improve, and act quickly.”

BTCPay first warned users about the attacks on Friday, urging them to install a new version, 2.4.2, or take their servers offline. At the time, the project had not confirmed any thefts or explained how the exploit worked.

According to BTCPay, the flaw allowed attackers to obtain LND admin macaroons—credentials that grant broad control over a Lightning Network node—and use them to access connected wallets. The Lightning Network is a layer-2 payment network built on the Bitcoin blockchain that enables faster and cheaper transactions. Lightning Network nodes route payments through channels between users.