Vertcoin Community Sabotaged by One other 51% Assault

Vertcoin Community Sabotaged by One other 51% Assault

Bitcoin
December 2, 2019 by Bitcoin Report
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The Vertcoin (VTC) blockchain was 51% attacked on Sunday, December 1, which noticed 603 VTC blocks changed by 553 blocks from the attacker. That is the second time the ASIC resistant Vertcoin chain was ambushed, because the community suffered a 300-block reorg a yr in the past. Additionally learn: Cryptocurrency Tasks Aiming to be ‘ASIC
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Vertcoin Network Sabotaged by Another 51% Attack

The Vertcoin (VTC) blockchain was 51% attacked on Sunday, December 1, which noticed 603 VTC blocks changed by 553 blocks from the attacker. That is the second time the ASIC resistant Vertcoin chain was ambushed, because the community suffered a 300-block reorg a yr in the past.

Additionally learn: Cryptocurrency Tasks Aiming to be ‘ASIC Resistant’ Have Little Success

Vertcoin 51% Attacked Once more

Vertcoin, a fork of the Bitcoin protocol, is an alternate cryptocurrency that’s been round since January 2014. The neighborhood and builders behind the challenge consider VTC is completely different as a result of it claims to be ASIC resistant. Nonetheless, all through October and December 2018, the Vertcoin community dealt with a sequence of 51% assaults and quite a few blockchain reorganizations (reorg).

Vertcoin Network Sabotaged by Another 51% Attack
Vertcoin handled 51% assaults and reorgs in October and December.

A 51% assault is when a single entity (miner) takes greater than 50% of the community’s hashpower, permitting them to reorg blocks and double spend cash. The 300-block reorg on Vertcoin final yr value greater than $100,000 from double spends. The scenario invoked VTC builders to alter its proof-of-work algorithm to a different algorithm referred to as Lyra2rev3. Lower than a yr afterward December 1, 2019, the Vertcoin chain suffered one other 51% assault. James Lovejoy, Vertcoin’s lead developer, defined the scenario:

On Sunday, 1 December 2019 15:19:47 GMT 603 blocks have been faraway from the VTC important chain and changed by 553 attacker blocks. We be aware that 600 blocks is the present affirmation requirement for VTC on Bittrex. There have been 5 double-spent outputs wherein ~ 125 VTC (~$29) was redirected. Every of the double-spent outputs are coinbase outputs owned by the attacker and it’s unknown to whom the cash have been initially despatched earlier than being swept to an attacker tackle after the reorg.

Vertcoin Network Sabotaged by Another 51% Attack

Cloud-Mining Service Nicehash Blamed Once more

Equally to final yr’s assault, the captured hashrate was blamed on Nicehash. The corporate sells hashpower to people and acts as a hashpower dealer market that connects sellers and miners. Lovejoy remarked that he seen on November 30 “a big upswing in hashrate rental costs for Lyra2rev3 on Nicehash.” “This was mixed with staff linked to Nicehash’s stratum server being despatched work for unknown (personal) Vertcoin blocks,” Lovejoy added. Final yr’s assault was blamed on Nicehash too when observers stated “there’s an excessive amount of hashrate for lease at too low a worth, leading to zero capex and low opex to do assaults.” Regardless of being ASIC resistant, cloud-mining companies at the moment are in a position to supply clients important parts of CPU and GPU-based hashrates.

Vertcoin Network Sabotaged by Another 51% Attack

Resisting mining centralization has been an enormous concern for quite a lot of blockchains and the Monero (XMR) community has had its share of grievances as effectively. Final yr XMR noticed a number of forks as builders tried to bolster ASIC resistance. In Could 2018, the Bitcoin Gold (BTG) challenge suffered a 51% assault and misplaced $18 million in a single fell swoop. A big portion of the BTG double spends from the assault was stolen from Bittrex, finally inflicting the U.S. alternate to delist BTG.

Vertcoin Network Sabotaged by Another 51% Attack

With Sunday’s Vertcoin assault, Lovejoy emphasised that “it’s doable that Bittrex was the unique goal.” Nonetheless, the double spends have been aborted as a result of Bittrex had their pockets disabled. “It’s also doable that no double spend was ever meant, and the assault was a proof of idea or sabotage assault,” Lovejoy added. Lovejoy stated the post-attack evaluation of the Nicehash order ebook on the time of the assault had proven “a big upswing in hashrate rental worth” from each U.S. and EU markets. However after the assault, the rental worth subsided, Lovejoy pressured, returning to the baseline market equilibrium.

What do you concentrate on Vertcoin getting attacked once more? Why do you assume assaults like these occur? Tell us what you concentrate on this topic within the feedback part beneath.


Picture credit: Shutterstock, Vertcoin brand, and Lovejoy’s Github gist.


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Jamie Redman

Jamie Redman is a monetary tech journalist dwelling in Florida. Redman has been an energetic member of the cryptocurrency neighborhood since 2011. He has a ardour for Bitcoin, open supply code, and decentralized functions. Redman has written hundreds of articles for information.Bitcoin.com concerning the disruptive protocols rising immediately.





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