The developers of Ethereum Classic, initially denied the attack 51% on the network of this cryptocurrency, on Monday evening recognized this fact, suggesting that she was connected with the testing of new miners.
The first reports about what Ethereum is Classic attack 51%, came in on Monday night, however, the representatives of the project it was originally denied. So, last night posted tweet they claimed that the network is working correctly and that under “Reorg” on the website BlockScout such information is not available.
There have been rumors of a possible chain reorganization or double spend attack.
From what we can tell the ETC network is operating normally.
BlockScout”s “Reorg” section shows nothing of the sort.https://t.co/Yi2cXusCz9 pic.twitter.com/HdUtS0DJZK
— Ethereum Classic (@eth_classic) January 6, 2019
Nevertheless, in the future, on the specified resource, this information appeared, then the developers ETC appealed to the exchanges and mining pool to increase the number of confirmations of transactions in withdrawal and depositing at least 400.
To all exchanges and mining pools please allow a significantly higher confirmation time on withdrawals and deposits (+400)
cc @OKEx @ExchangeXGroup @HuobiGroup @digifinex @binance @bitfinex https://t.co/m5cxcKBVXa
— Ethereum Classic (@eth_classic) January 7, 2019
Simultaneously, there were reports that a notice about the problems in Ethereum Classic was distributed by a Chinese company SlowMist. Unusual growth Hasrat ETC was due to the activity of unnamed private mining pool.
As seen in the chart below, at some point on Monday, Hasrat ETC over 10 Th/s, though most of the first week of January was at levels below 8.5 Th/s.
And on the evening of Monday the Ethereum team Classic announced that found a plausible explanation of what happened. According to them, the culprit was a producer of ASIC miners Linzhi Shenzhen, which allegedly has already confirmed that it carried out the testing of new devices for the algorithm Ethash with exponent 1 400/Mh.
Regarding the recent mining events. We may have an idea of where the hashrate came from.
ASIC manufacturer confirmed Linzhi testing of new 1,400/Mh ethash machines #projectLavaSnow
— Most likely selfish mining (Not 51% attack)
— Double spends not detected (Miner dumped bocks)
— Ethereum Classic (@eth_classic) January 7, 2019
Also representatives of Ethereum Classic insist that we are not talking about the attack 51%, but rather about the so-called selfish mining, and that the incidence of double spending coins was observed.
With them, however, agree not all. So, the exchange Coinbase wrote in their blog that a deep reorganization of the blockchain Ethereum Classic was seen on 5 January, which was carried out double-spending. Exchange instantly stopped the movement of these funds, and then recorded eight additional cases of reorganization of the chain. The total amount came under attack 51% of the funds, according to Coinbase, was 88 500 ETC ( about $460 000).
On 1/5/2019, Coinbase chain detected a deep reorganization of the blockchain Ethereum Classic that included a double spend. In order to protect customer funds, we immediately paused movements of these funds on the blockchain ETC. Read more here: https://t.co/vCx89dz44m
— Coinbase (@coinbase) January 7, 2019
Moreover, the reporter CoinDesk Nikhilesh De wrote on Twitter that mentioned by the Ethereum team Classic manufacturer miners Linzhi Shenzhen has denied involvement in the incident.
UPDATE: Linzhi Shenzhen director of ops Wolfgang Spraul refuted claims that Linzhi is involved in the reorg: “We are categorically denying such claims, they are entirely baseless and may be part of the attack itself.”https://t.co/ZMUrzazr2p
— Nikhilesh De (@nikhileshde) January 7, 2019
“We categorically refute such allegations, they are absolutely groundless and may be part of the attack”, — said COO Linzhi Shenzhen Wolfgang Sproule.
CoinDesk also notes that the Sunday-observers blocks Bitfly (Etherchain) and Blockscout reorganization has undergone more than 100 blocks ETC. At the same time, consensus about the duration of the attack yet. So, if Blockscout reports that the incident happened at 02:00 UTC and 05:00 UTC Monday, Bitfly reported that as at 17:00 UTC, the attack potential continued. Also about the ongoing attack represents and Coinbase.
We can confirm that there was a successful 51% attack on the Ethereum Classic (#ETC) network with multiple 100+ block reorganization. We recommend all services to closely monitored the chain and significantly increase required confirmations.
— Bitfly (@etherchain_org) January 7, 2019
The representative Blockscout Andrew Cravero, meanwhile, said that although after the reorganization of the blockchain and have been more than 14 hours ago “the network is constantly fluctuations and Hasrat is constantly changing”. According to him, this creates the “perfect conditions” for the continuation of disruptions in the network.
Director of the ETC Cooperative Anthony Lusardi also gave information about the restructured units, noting that additional Hasrat really appeared as if from nowhere and could potentially be associated with the new AMI HAS.
Here you go, there’s been 8 that are >75 blocks. The hashrate doesn’t appear to have come from the ETH nor Nicehash miners, appeared out of nowhere. Potentially new ASICs.https://t.co/kPrCAvlbW9
— Anthony Lusardi (@pyskell) January 7, 2019
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