Boltz, a non-custodial Bitcoin swap service, has suspended all operations indefinitely after AI-assisted attacks began finding vulnerabilities faster than its team could patch them. The shutdown cuts off Lightning Network and Liquid sidechain functionality for wallets that relied on Boltz's backend, though the company says no user funds were lost.
Boltz, a non-custodial swap service that connects Bitcoin's base layer to the Lightning Network and the Liquid sidechain, suspended all swap operations indefinitely on August 3, 2026, saying automated, AI-assisted attacks had begun finding vulnerabilities faster than its small team could patch them. The company posted the news on X, warning it cannot estimate when swaps might return.
AI-assisted attacks outpace a small team
Boltz said the shutdown does not respond to a single incident. Instead, it pointed to a steady rise over recent months in automated, AI-assisted probing of its infrastructure, during which several exploits were contained. In a series of posts on X, Boltz said the pattern was clear: "attackers now iterate faster than a team our size can find and patch."
The pace accelerated further in the days before the shutdown. After reviewing its own security scans, Boltz said it could not responsibly re-enable swaps while facing what it called multiple resourceful attacker groups.
Lightning and Liquid wallets scramble for alternatives
The shutdown ripples beyond Boltz itself. Wallets Aqua and Bull Bitcoin relied on Boltz's backend to offer Lightning and Liquid functionality, and both are now seeking replacement providers. The gap is more acute for Liquid, which has always had a smaller pool of service providers than Lightning, leaving fewer alternatives for the sidechain's users.
No funds lost, refunds still running
Boltz said no user funds were ever at risk, because its non-custodial, atomic swap design keeps assets in users' control until a swap completes. The company's refund API remains operational for pending transactions, and customer support continues to run. Boltz currently holds around $262,000 in total value locked, according to DeFiLlama.
Sources: Decrypt, Crypto Briefing
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