A 51% attack by Bitcoin would be useless for attackers because it would require "significant expenses" and "few financial returns", according to a new study, which concluded that Bitcoin is safe.
51% of the Bitcoin attack requires "significant expenses"
Professor Saravanan Vijayakumaran, associate professor of the Indian Institute of Technology (IIT) Department of Electrical Engineering, Bombay, has published a new research paper entitled The security of the Bitcoin protocol.
The study, sponsored by Zebpay, examined the security framework of the Bitcoin network under three main points:
- Stealing Bitcoin.
- Tampering with confirmed and unconfirmed transactions.
- The ease of interrupting normal network protocol operations.
The main purpose of the study was to evaluate the vulnerability of the Bitcoin network to a 51% attack.
By definition, a 51% attack is:
The ability of someone who controls most of the network hash rate to review the transaction history and prevent confirmation of new transactions.
In 2018, some cryptocurrency blockchains caused 51% victims and double-expense attacks.
Professor Vijayakumaran's research concluded that such an intrusion would not only require enormous computational potential, but would also result in minimal financial gain. The study also claimed that an attacker could only insert or remove transactions, but not alter transactions or steal Bitcoins.
Despite declaring the network practically immune to such attacks, the study mentioned that a hostile nation could, in theory, successfully launch such an attack. He explained:
While launching a 51% attack requires significant spending with few financial returns, it is not beyond the reach of a hostile nation state. Until an opponent of that stature emerges, the Bitcoin protocol can be considered safe.
Bitcoin is safe
For the CEO of Zebpay, Ajeet Khurana, the study certainly increases trust in Bitcoin (BTC) 00. In addition, the study also comes at an important time for Bitcoin, who has just turned 10.
Commenting on the study, Khurana said:
This document emphasizes the security of this revolutionary protocol at a time of wider adoption of cryptocurrencies. Zebpay is proud to have allowed this in-depth research which is a source of empowerment and education for the entire ecosystem including blockchain developers, governments, think tanks, academics, regulators, order forces, researchers, students and finance professionals.
Zebpay is one of the fastest growing cryptocurrency exchanges in the industry. Headquartered in Singapore, the platform has recently established its presence in Malta, expanding the scope of its service provision in 21 member countries of the EU.
Can nations launch a 51% successful attack on Bitcoin? Let us know your thoughts below!
Image courtesy of Zebpay, Shutterstock