Another 51% Attack on Ethereum Classic in August

This time, the attacker reorged a total of 7,000 blocks in the Ethereum Classic 51% Attack.

By · Aug 31, 2020 . 5min read

Ethereum Classic for the third time in the month of August has suffered another 51% attack. This time, the attacker reorged a total of 7,000 blocks.

Bitfly, a blockchain technology company, announced the latest ETC attack in a tweet on the 29th of August. It said:

Today another large 51% attack occurred on the #ETC network which caused a reorganization of over 7000 blocks which corresponds to approximately 2 days of mining. All lost blocks will be removed from the immature balance and we will check all payouts for dropped txs.

Apparently, ETC Labs backing Ethereum Classic announced a new strategy it called defensive mining last week. It’s a strategy to stabilize the Ethereum Classic network’s plummeting hashrate and resist future 51% attacks.

Consequently, ETC Labs technology coordinator in a call with Coindesk said: “very suspicious” as it came just a day after a meeting of Ethereum Core developers regarding “aggressive innovation” in the blockchain’s proof of work.

As we reported during Ethereum Classic’s second 51% attack, the miner reorged a total of 4,280 blocks in 4 days.

Subsequently, cryptocurrency exchange OKEx, where the last miner who staged the first and second attack attempted to launder his funds say it may likely delist ETC. The exchange cited security quality which is no longer tenable within the Ethereum Classic network.

Will the latest 51% Attack on Ethereum Classic eventually lead its shutdown?

Ethereum Classic’s journey has been slow after its split from Ethereum with the unfortunate DAO Hack of 2016. Clearly ETC Labs and ETC Cooperative are doing all to salvage what remains of the network. However, it’s long time survival depends on the utility of the network like developer activities. If it fails in this area, miners will be running at a loss if they decide to continue the cryptocurrency mining. Even though they earn by mining new ETCs, its long term price growth depends on the utility of the blockchain network to developers.

Follow Cryptodose for daily updates

         All News