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Liquid Network releases emergency fix: Elements v23.3.4 fixes Proof verification cache vulnerability

Liquid Network has released the latest update stating that the emergency version Elements v23.3.4 is now online. Functionary nodes have immediately begun upgrading and all Liquid node operators are advised to synchronize updates. This version addresses the previously discovered Proof verification cache vulnerability and strengthens the cache keys used for Range Proof.Regarding network recovery, Blockstream states that it is still formulating a recovery plan, which is expected to proceed in three phases: restoring block production while continuing to suspend Peg operations; replaying verified valid transactions; and restoring Peg operations after the network status is fully restored and funds are confirmed to be returned. Currently, the first two phases are being tested in parallel, and any phase will only advance once safety is confirmed. Liquid Network indicates that Elements v23.3.4 has completed multiple rounds of internal and external reviews, with participants including the Bitcoin Red Team, Alpen Labs, and other teams.At the same time, Liquid Network reminds users to be vigilant against fraudulent upgrade websites exploiting this incident. Information should only be obtained through official Liquid Network and Blockstream channels, and users should never send funds to strangers or disclose private keys or recovery phrases.

first_img The National Sheriffs' Association will change its stance on the Clarity Act from opposition to neutrality

According to CoinDesk, the National Sheriffs' Association (NSA) sent a letter to Senate leadership on Thursday, announcing a shift in its position on the Clarity Act from opposition to neutrality. Association President Troy Wellman and Executive Director Justin Smith stated in their letter to Senate Majority Leader John Thune and Minority Leader Chuck Schumer that, given the complexity of the bill and the significant details still under review, the most appropriate course of action is to take a step back and allow the legislative process to continue in order to establish a clear, effective, and urgently needed regulatory framework.Previously, the NSA had sent a letter to the Senate Banking Committee in May, warning that Section 604 of the bill would grant "blanket exemptions" to mixers, tumblers, and DeFi platforms from anti-money laundering rules, and stated that individuals might exploit evolving software, algorithms, and AI agents to transfer digital assets without tracking or accountability, engaging in activities such as money laundering, financing terrorism, and evading sanctions. A month after that letter was sent, the White House invited law enforcement organizations expressing concerns about the cryptocurrency market structure bill to meet and discuss how to address the bill's controversies regarding the prevention of illegal finance. Blockchain Association CEO Summer Mersinger also criticized the NSA's opposition stance in a July column, calling the bill "the most significant consumer protection measure in years."The NSA's shift to neutrality removes one of the most outspoken critics from the law enforcement community ahead of the September vote on the bill.
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