Coinbase, Bitfly Say Reorganizations detected on the Ethereum Classic blockchain; Devs Deny Claim of ETC – ADTmag

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Coinbase, Bitfly Say Reorganizations detected on the Ethereum Classic blockchain; Devs Deny Claim of ETC

According to an announcement by the cryptocurrency company Coinbase, on 5 January it found a major reorganization of the chain on the Ethereum Classic (ETC) blockchain, including a double expense.

"In order to protect customer funds, we immediately suspended the movement of these funds on the ETC blockchain," the company wrote in a blog post on January 7 to announce what it had discovered. "Following this event, we detected 8 additional reorganizations that included double expenses, totaling 88,500 ETCs (~ $ 460,000)."

The company describes the ETC blockchain as "51 percent attacked".

However, ETC developers he tweeted at 11:32 on January 7th that they did not agree that the network was under attack and that it did not identify any reorganization. They wrote:

As for the recent mining events. We might have an idea where the hashrate came from. The manufacturer ASIC Linzhi has confirmed the testing of new 1,400 / Mh ethash machines #projectLavaSnow – Probably selfish mining (Does not attack 51%) – Double undetected spend (Miner dumped bocks)

At 1:44 they did a follow-up tweet:

To be clear, we are not making any attempt to hide or minimize recent events. The facts are made and as the situation develops, we will soon have a complete picture of what actually took place. Linzhi is testing ASICS. Coinbase reported a double expense; both can be true. In time we will see.

Coinbase did not directly direct posts from ETC developers. Bitfly tweeted this morning confirming The findings of Coinbase on multiple reorganizations and a 51% attack, and several researchers and others in the community are shipment registers of reorganizations and other data.

On how the integrity of the ETC blockchain could become vulnerable, in his blog Post Coinbase pointed this whitepaper as a background and explained that without the "honesty" level of basic miners reaching 51%, it is not It is a way of ensuring the security of no blockchain cryptocurrencies based on proof-of-work architecture.

The authors wrote in part:

Failure to respect this [honesty]the requirement breaks down several fundamental guarantees of the Bitcoin protocol, including the irreversibility of the transactions. Many other cryptocurrencies, such as Ethereum Classic, have also adopted the work trials extraction.

… If a single miner has more resources than the rest of the network, this miner could choose an arbitrary precedent block from which to extend an alternative block history, eventually overcoming the block history produced by the rest of the network and defining a block new chronology of canonical transactions.

…. This, by itself, could end up being nothing but a minor inconvenience. After all, all transactions still exist, but they may have been put in a different order, perhaps delaying some of them. However, imagine a miner who also owns a large number of coins. The miner could send those coins to a merchant in a transaction, T, while also secretly extending an alternate block history. The secret blocks of the miner do not include T, but rather include a transaction that sends the same coins used in T to a different address. Call the transaction T & # 39 ;. When the miner reveals this secret story, it will contain T & # 39 ;, not T. Because T and T & # 39; they tried to send the same coins and T is now in canonical history, this means that T is invalid forever, and the recipient of the coins sent in transaction T have not even received them in the new canonical history . More information on this can be found here.

The current state of the ETC based on coins can be found here. At the time of writing, the currency send and receive were still disabled.