A decentralized cryptocurrency is by definition vulnerable to 51% attacks, the creator of Litecoin (LTC) Charlie Lee he has declared in a tweet January 7th.
On the heels of the recent news on unusual mining activities on the Ethereum Classic network (ETC) – that many continue to refer to at a 51% attack – Lee shared his remark by stating that:
"By definition, a decentralized cryptocurrency must be susceptible to 51% attacks if it has hashrate, stakes and / or other resources that can not be acquired without authorization, and if a cryptography can not be 51% attached, it is authorized and centralized."
Lee's statement was in response to one another Tweet stating that "if it can not be 51% attached, it is not decentralized" by the Twitter user CryptoTesla. The tweet was made in response to the Coinbase announcement that revealed that it had detected "chain reorganizations" and that the double spent on ETC's blockchain yesterday, January 7th.
Today, January 8, Coinbase updated the numbers to report that there were 12 additional reorganizations that included double spend totaling 219,500 ETCs (around $ 1.1 million).
Coinbase announced that it has suspended ETC deposits and withdrawals on January 5, with the freezing still evidently in effect at the time of the press.
On January 7, ETC developers denied reports that the consolidation of the hashpower was actually a 51% attack, stating that it was "probably more selfish mining" and that there was no double expense .
Subsequently, the ETC team stated in a tweet that the increase in the hahrate could be attributed to the testing of new 1400 / Mh Ethash machines from Linzhi's Application-Specific Integrated Circuit Manufacturer (ASIC). However, the operational director of Linzhi Shenzhen denied these claims in a tweet that has been canceled since then.
By press time, ETC's team abstained from applying the term "51% attack" to the incident. One of their latest tweets about the problem from today repeats a request to all cryptographic exchanges and mining pools to significantly increase the confirmation time on all withdrawals and deposits.