The Liquid Community’s Bitcoin reserve once more totally backs L-BTC, its Bitcoin-linked token, swap supplier SideSwap stated Nov. 3.
Direct withdrawals from the Liquid Federation stay restricted, leaving SideSwap’s prospects depending on the supplier’s personal Bitcoin pockets for payouts.
In its Nov. 3 replace, the swap supplier cited 4,270.54 L-BTC in circulation towards 4,270.54 BTC within the reserve managed by the Liquid Federation that morning. These equal balances restore one Bitcoin of reserve backing for every L-BTC, based on SideSwap.
The corporate recognized deposits of 300 BTC and 250 BTC on Nov. 2 among the many transfers that introduced the reserve degree with circulation.
The restoration follows the Sept. 6 incident during which an Parts software program flaw allowed about 4,000 unbacked L-BTC to be created and transformed into Bitcoin by SideSwap’s service, based on the supplier.
Why holders can nonetheless anticipate Bitcoin
SideSwap says its L-BTC-to-BTC service has been open since Oct. 20, and holders can ship L-BTC and obtain Bitcoin at a one-to-one charge, minus the supplier’s commonplace 0.1% charge. That buyer conversion route stays separate from direct Federation peg-outs, the mechanism for releasing Bitcoin from the community’s reserve.
Till Federation peg-outs return, SideSwap says each buyer payout comes from its personal Bitcoin pockets, and that it exchanges the L-BTC it receives for Bitcoin in bulk.
When the pockets runs low, orders can sit in a queue till the following refill arrives. SideSwap says it pays these orders in arrival order after replenishment and doesn’t give a assured completion time.
Liquid is totally backed. Payouts nonetheless use SideSwap’s pockets.
SideSwap stories equal reserve and circulation balances. Its buyer conversion route nonetheless is determined by manually replenished Bitcoin stock.
Restored backing and quick payout capability are separate: a SideSwap order could anticipate its subsequent pockets refill.
- SideSwap reported on Nov. 3, 2026 that Liquid’s Bitcoin reserve once more totally backed L-BTC, citing morning figures of 4,270.54 L-BTC in circulation and 4,270.54 BTC within the Federation reserve. SideSwap operational replace, Nov. 3, 2026
- SideSwap says its L-BTC-to-BTC peg-out service has been open since Oct. 20 at one-to-one much less its commonplace 0.1% charge, whereas direct Federation peg-outs stay restricted. SideSwap operational replace, Nov. 3, 2026 Federation restoration plan, Oct. 20, 2026
- Till Federation peg-outs return, SideSwap says it pays prospects from its personal Bitcoin pockets and exchanges obtained L-BTC for Bitcoin in bulk. SideSwap operational replace, Nov. 3, 2026
- SideSwap says its payout pockets is refilled manually, so orders can queue when funds run low; it says queued orders are paid in arrival order after a refill and provides no assured completion time. SideSwap operational replace, Nov. 3, 2026
- The Liquid Federation’s Oct. 20 restoration plan positioned restoration of full 1:1 backing earlier than managed reactivation of direct peg-outs for licensed PAK key holders, topic to remaining safety and operational necessities. Federation restoration plan, Oct. 20, 2026
- SideSwap’s Nov. 3 replace stated it didn’t know when Federation peg-outs would resume; restored backing subsequently doesn’t itself set up completion of the withdrawal restoration. SideSwap operational replace, Nov. 3, 2026 Federation restoration plan, Oct. 20, 2026
Reserve figures are SideSwap’s Nov. 3 morning report. Pockets funding states are conditional illustrations, not a dwell service indicator. The Federation restart date and payout ready time are unknown.
Technique: Reported equal morning balances are proven with equal bar lengths. The payout diagrams present source-described conditional pockets states, not dwell balances, measured switch volumes or elapsed time. No arithmetic or forecast is added.
Restored reserve backing doesn’t assure that the supplier has sufficient Bitcoin instantly out there to pay each conversion request, since a payout can nonetheless anticipate the following pockets refill.
The Federation’s Oct. 20 plan put restoration of full 1:1 backing earlier than managed reactivation of peg-outs for licensed holders of peg-out authorization keys, often known as PAK keys. Resumption stays topic to safety and operational necessities.
SideSwap says it doesn’t know when Federation peg-outs will resume. The Federation’s remaining restoration milestone is to finish these necessities and restart its managed withdrawal route.
