Looking for the biggest developments in crypto today? Here are the latest stories affecting Bitcoin, blockchain, DeFi, Web3 and crypto regulation.
Today’s crypto headlines include a major security incident involving the Liquid Network, the shutdown of Tether-backed exchange Orionx, and a failed attempt by Polish lawmakers to overturn a presidential veto on crypto legislation.
Liquid Network Pauses After $320M Bitcoin Withdrawal
Bitcoin sidechain Liquid temporarily paused operations after actors claiming to be white-hat hackers withdrew approximately 4,000 BTC, worth around $320 million, from its federation wallet.
Liquid said bridge nodes were disabled on Sunday, preventing new transactions from being processed.
Several cryptocurrency exchanges also halted, or prepared to halt, deposits and withdrawals involving Liquid Bitcoin, known as L-BTC.
Blockstream Contacts Purported White-Hat Hackers
Blockstream, the technology provider behind Liquid, began communicating with the actors through signed onchain messages.
The individuals reportedly told Blockstream to fix the vulnerability and ensure that all affected nodes were updated before they would return most of the Bitcoin.
They also sent encrypted technical information about the vulnerability, according to Galaxy Digital research head Alex Thorn.
At the time of reporting, the withdrawn funds had not yet been returned.
SideSwap Says Its Systems Were Not Compromised
SideSwap said the transaction passed through its peg-out service as a customer request using its Peg-out Authorization Key.
However, the company said the key itself was not compromised.
According to SideSwap, the L-BTC involved in the transaction originated from a bug in Elements, the open-source software that supports the Liquid Network.
The company said the issue was therefore linked to the underlying software rather than its own systems.
About 95% of Liquid Wallet Bitcoin Was Withdrawn
The withdrawn Bitcoin represented roughly 95% of the federation wallet’s previous balance.
The wallet reportedly held around 4,200 BTC before the incident.
Liquid said other assets issued on the network, including USDT, DePix and real-world assets, were not affected.
The sidechain remained paused while federation members worked to address the vulnerability.
Tether-Backed Orionx to Shut Down
In another major crypto development, Chilean exchange Orionx announced plans to permanently shut down.
A forensic audit reportedly found a custody shortfall of more than $7 million in customer assets.
The exchange said some client funds had been transferred to wallets outside its custody.
Orionx Suspends Withdrawals
Orionx temporarily suspended withdrawals while attempting to recover and return as much customer money as possible.
The company has also filed a criminal complaint against former executives and co-founders Roberto Zibert and Joaquín Díaz.
Both have denied wrongdoing.
Local reports suggest the disputed transfers occurred between 2018 and 2021.
Tether led Orionx’s Series A funding round in June 2025 as part of its broader expansion into Latin America.
Poland Fails to Overturn Crypto Bill Veto
Polish lawmakers also failed to overturn President Karol Nawrocki’s veto of legislation designed to increase oversight of the country’s crypto market.
The Sejm voted 241 to 198 in favor of overriding the veto, with three abstentions.
However, lawmakers fell 25 votes short of the three-fifths majority required.
Zondacrypto Investigation Expands
The vote comes as authorities continue investigating collapsed crypto exchange Zondacrypto.
Prime Minister Donald Tusk referenced witness testimony alleging payments and attempts to influence politicians connected to Poland’s former government.
Zondacrypto’s Estonian operator, BB Trade Estonia, was declared bankrupt in August.
Polish prosecutors are also investigating allegations involving fraud and money laundering connected to the exchange.
Crypto Market Faces Security and Regulatory Risks
The latest developments highlight several major risks facing the digital asset industry.
The Liquid Network incident underscores concerns around blockchain infrastructure and custody security.
Meanwhile, Orionx’s shutdown raises fresh questions about exchange transparency and customer asset protection.
At the same time, Poland’s political dispute over crypto regulation shows that governments are still debating how aggressively digital assets should be supervised.
