Bitcoin-based Liquid Network says $320 million withdrawn in hack

Sept 6 (Reuters) - Liquid Network, a Bitcoin-based payments and ‌settlement network, said ‌on Sunday that about $320 million was ​withdrawn from its federation wallet in a hack.

"Purported white-hat hackers" withdrew around 4,000 ‌of the ⁠4,200 bitcoin held in its Liquid Federation ⁠wallet, Liquid Network said in a post on ​X.

"Liquid wallets ​will ​be impacted, and ‌we're sorry for any inconvenience," Liquid Network said, adding that it has halted new transactions.

The funds were ‌withdrawn via SideSwap, ​a settlement platform ​permitted ​to handle withdrawals ‌from the network, though ​the ​key used in the process was not compromised, ​Liquid ‌Network added.

(Reporting by Gnaneshwar Rajan ​in Bengaluru; Editing by ​Mrigank Dhaniwala)