According to CoinMeta, as officially disclosed by sideswap, on September 6th, a consensus vulnerability was found in the underlying elements software of liquid and network. Attackers exploited this vulnerability to generate approximately 4,000 l-BTC tokens without any collateral, and then redeemed them through the peg-out service of sideswap. liquid and federation eventually released about 3,996 BTC tokens, and sideswap automatically transferred approximately 3,995.999999 BTC of these to the attacker's address. sideswap emphasized that their wallet, private keys, and the system itself were not compromised. liquid and network are still in a suspended state, and the related work to recover the lost tokens is ongoing.