Estimated daily cost to sustain the attack could reach $75 million.
Monero is reportedly experiencing a successful 51% attack by the Qubic mining pool, controlling the network’s hash power and enabling blockchain reorganization, as reported by Ledger CTO Charles Guillemet.
The event underscores vulnerabilities in Monero’s network, raising concerns about security, while exchanges are urged to enhance monitoring for reorganization and double-spending risks.
Qubic’s accumulation of hash power over months has raised alarms among blockchain security experts. With control over Monero’s hash power, experts note the potential for Qubic to rewrite blockchain records. The Monero ecosystem, while impacted, has yet to release an official statement.
The potential changes involve increased risks of transaction censorship and double spending. Observers noted significant chain reorganizations, equating to financial and operational risks for venues handling Monero transactions. The event is detailed in Qubic Miners Complete Historic Transition, Securing Monero Network.
“Monero seems to have suffered a successful 51% attack… The Qubic mining pool can theoretically rewrite the blockchain, carry out double spending and review any transactions… The cost of the attack is high, and the economic benefits are unclear.” – Yu Xian, Founder, SlowMist
Did you know? The first known 51% attack occurred on the Bitcoin Gold network in 2018, highlighting vulnerabilities in proof-of-work cryptocurrencies.
According to CoinMarketCap, Monero (XMR) currently trades at $251.93, showcasing a significant price movement. Over recent periods, XMR prices have experienced a 30-day dip of 25.84%, with market adjustments reflecting heightened security concerns.
Coincu’s research team emphasizes potential shifts in market trust and regulatory oversight as Monero and similar networks encounter such attacks. Historical precedents and on-chain data inform the expectation of heightened scrutiny and innovative security strategies to counteract network vulnerabilities, as examined in the Monero Experiment Recap at Epoch 172: Insights and Outcomes.
