[ad_1]
If you were around in 2018 or early 2019, you will probably remember the hype around MimbleWimble. MimbleWimble is a privacy technology for cryptocurrencies that is attempting to unify technologies used by networks like Zcash or Monero.
The technology gained quite a bit of traction in 2019 when two cryptocurrencies using Mimblewimble, Grin and Beam, were launched. The former was seen as more decentralized, with one founder making an exit similar to Satoshi. The latter of the two was seen as more centralized, with steady development once sustained.
Even though they were tossed into a bear market, the coins gained a significant amount of traction.
At its highest, GRIN had a market capitalization of $ 80 million. BEAM shared a similar fate, reaching a market cap of just under $ 60 million.
Although both now have a market capitalization of around $ 15 million each, they have still been targeted by attackers.
Grin, for example, was just reported to have seen a 51% attack.
Grin 51% attack goes crypto-viral
Yesterday, a mining pool focused on 2Miners altcoins began reporting that the Grin network had been under 51% of attacks.
A blockchain can be attacked at 51% when an entity acquires more than 50% of the network’s hash rate, allowing them to outrun other miners to create a blockchain for malicious purposes.
Grin Network is under attack by 51%!
Payments are stopped. Please check out at your own risk only as new blocks may be rejected.@grincouncil @grin_hub @Hotbit_news @Poloniex @kucoincom @gateio_info @CoinBene pic.twitter.com/6seDSRe8Qw
– 2Miners (@ pool2miners) November 8, 2020
Emin Gün Sirer, a professor at Cornell University and CEO of the cryptocurrency startup Avalanche, confirmed this, writing that he thinks the network has been attacked at 51%.
Sirer added that the network attack was a byproduct of key drawbacks in using the Proof of Work consensus mechanism:
“It appears that Grin has been attacked at 51%. PoW is insecure unless: 1) Coin is dominant due to its hashing algorithm, and 2) Mining involves dedicated hardware Combined, this means that mining will always be in the hands of a small number of specialists, damaging decentralization “.
It is currently unclear what effects this attack had on exchanges or those interacting with GRIN. But doable, the attacker could have made fake deposits on exchanges that support cryptocurrency, swap those coins for another cryptocurrency, then issue a withdrawal request.
The 51% attack on the Grin network comes after two attacks similar to Ethereum Classic. Commenting on these attacks, macro investor Dan Tapiero said that coins that can be attacked at 51% should have little monetary value:
“Why isn’t #ethereumclassic worth zero? It has a $ 800mm mkt cap. Why own something that can be easily attacked and stolen when there are so many alternatives (even within the alts space). Digital currency should be safe. What am I missing here? “
Do you like what you see? Sign up for daily updates.
[ad_2]Source link
