51 percent Ethereum Classic hacker returns $100,000 in stolen cryptocurrency

An exchange has mulled over the possibility of the hacker being white-hat, but $1 million is still unaccounted for.

 

The cyberattacker believed to be responsible for a 51 percent on the Ethereum Classic (ETC) blockchain has returned $100,000 in stolen proceeds, while keeping roughly $1 million.

According to Gate.io, the funds were returned last week but it is not known why the cryptocurrency has been returned, or for what purpose — and efforts to contact the hacker have proved fruitless so far.  

“We still don’t know the reason,” the cryptocurrency exchange said. “If the attacker didn’t run it for profit, he might be a white hacker who wanted to remind people the risks in blockchain consensus and hashing power security.”

This is a possibility, but even so, the potential ‘white hat’ has still kept a fortune in cryptocurrency for themselves following the attack.

The ETC blockchain was the victim of what is known as a 51 percent attack starting on 5 January, leading to the theft of $1.1 million in the Ethereum Classic cryptocurrency. 

51 percent attacks force a blockchain to reorganize and permit attackers to seize control over transactional power of a network. In this case, it is believed over 100 blocks were reorganized.

If they manage to wrestle control of over 50 percent of the network, they are given leave to modify and execute transactions, as well as reverse transactions after they have been confirmed. This is known as “double spending.”

Theoretically, 51 percent attacks could take place on any kind of blockchain, but it does take access to a vast amount of computing power to execute these types of attacks.

Coinbase identified a total of 15 attacks, 12 of which included double spending in order to steal 219, 500 ETC. In an analysis of the attack, SlowMist researchers documented transactions involving thousands of coins at a time taking place.

“We believe that due to the recent decline in blockchain funding, the net mining power of the whole network has declined,” the researchers said. “You have really felt the impact of the 51 percent on ETC, and it is foreseeable that the attack will increase rapidly with the cost of attack reduced.”

Some of the funds have been returned but this does not mean that the blockchain is safe from potential attacks by the same hacker in the future, or copycats who also possess the means to conduct 51 percent attacks.

Gate.io says that the hashing power of the ETC network is still not strong enough to fend off these types of attack and that the possibility exists of enough hashing power being rented out to hit the blockchain again.

“Gate.io has raised the ETC confirmation number to 4000 and launched a strict 51 percent detect for enhanced protection,” the platform added. “We also suggest other ETC exchanges take actions to protect the trader from blockchain rollback/reorg.”

SlowMist recommends that exchanges and pool operators increase their block confirmation times as a matter of urgency to mitigate the risk of 51 percent attacks. Both Gate.io and Bitfly have done so; however, if enough computing power is in play to permit over 50 percent of the network to be in an attacker’s control, block confirmation extensions may not be enough.


Source
Author: Charlie Osborne
Image Credit

Ethereum Classic Price Barely Moves Despite 51% Attack

When the 18th-largest cryptocurrency falls prey to a 51% attack, you’d expect it to make an impact on the coin’s short-term price movements. However, following a brief drop on Monday, the Ethereum Classic price is only performing moderately worse than its peers.

CCN reported on Monday that Ethereum Classic’s team had used Twitter to warn exchanges of suspected network problems. They asked exchanges to wait up to 400 confirmations for deposits and withdrawals of ETC. This measure is intended to ensure that fraud is either minimized or impossible, depending on the actual situation.

Coinbase Suspends All Ethereum Classic Activity

What was noticed by Ethereum Classic and CCN was later confirmed by Coinbase, which froze all deposits, withdrawals, and trading of ETC on its platform after determining that the issue was a 51% attack.

Binance continued all of the above, as did several exchanges. The leading exchange for trading ETC today was EXX. It had 22% over the overall volume, evenly split between USDT and BTC markets.

The leading exchange for trading ETC today was EXX.

Later in the day, Ethereum Classic developers posted a probable theory about the network issues to Twitter.

Ethereum Classic (ETC) Drops 10% But Recovers

On the whole, Ethereum Classic was trading about 10% lower over the course of the day, breaching the $5 marker with hard pressure on the sell side.

At the time, Binance markets on ETC were chaotic and active. There were orders for over 4000 ETC at the price of .001211 BTC. Sellers had congregated around .001233, with over 4,200 ETC there. Both prices are a reduction from yesterday’s high of more than .00134. The BTC value is more important in ETC markets as the majority of its markets are denominated in BTC rather than USD.

There were orders for over 4000 ETC at the price of .001211 BTC. Sellers had congregated around .001233, with over 4,200 ETC there. Both prices are a reduction from yesterday’s high of more than .00134.

However, ETC began to recover on Tuesday, and by the time of publication the coin was down just 4% against Bitcoin and 3.51% against USD.

Future For Ethereum Classic?

While Ethereum Classic retains the original functionality of Ethereum, it has yet to pick up any real demand as regards its so-called “global computer” or smart contract platform. While the majority of dApp projects launched over the past couple of years have launched on Ethereum or at least done their ICO there, few have used Ethereum Classic. Ethereum Classic, importantly, has all the capabilities of Ethereum.

The release of new mining hardware will only affect Ethereum and Ethereum Classic for awhile longer. Ethereum Classic developers have reportedly been working on a solution for the proof-of-stake conundrum.

Network turbulence is always good for bears. Markets like BCH and ETC certainly have their share of bears.

The cryptocurrency market as a whole is very nascent. The usability and usefulness of decentralized applications is very far from reaching its full potential. Developers entering the space today have a wide variety of platforms to choose from. While the network demonstrated some oddities today, it was still usable.

The question for Ethereum Classic traders is: how will this affect the value of ETC going forward? Moreover, was this a one-time thing, or will similar disruptions happen in the near future as more new mining hardware comes online?

Time will tell.

Disclosure: the author trades and owns Ethereum Classic.


Source
Author: P. H. Madore
Image Credit

Ethereum Classic cryptocurrency pulled from Coinbase after attack

A hack on the cryptocurrency let attackers spend coins twice.

 

If there’s one thing cryptocurrency is supposed to guarantee, it’s that no one can spend the same coin twice. Every transaction ever made with Bitcoin, for example, is recorded in a database that anyone can access. The database is called a blockchain, and it’s supposed to keep everyone honest.

But there’s a way to get around that rule. On Monday, cryptocurrency trading hub Coinbase said it would no longer facilitate trades in Ethereum Classic because the exchange had determined the cryptocurrency had fallen victim to an attack that let someone spend the same coins twice.

The attack highlights a problem that blockchain experts have known about since the beginning of cryptocurrencies. Virtual coins are only secure as long as people remain honest while maintaining the blockchains that record cryptocurrencies. It’s also a big blow for Ethereum Classic, which can no longer be traded on Coinbase, a major exchange for all kinds of cryptocurrencies.

According to Coinbase security engineer Mark Nesbitt’s blog post, the attackers could spend coins twice because of what’s called a 51 percent attack. To do this, attackers took control of more than half of the processing power that computes and stores the Ethereum Classic blockchain. That let the attackers create alternative transactions for some coins, essentially spending them twice.

A Twitter account for Ethereum Classic said it had detected a problem but didn’t think it was a 51 percent attack and hadn’t seen signs of “double spending” coins. “[Coinbase] allegedly detected double spends but unfortunately did not connect with ETC personnel regarding the attack,” a tweet from the account said Monday. The owners of the account didn’t immediately respond to a request for comment.

The coins that attackers allegedly spent twice were worth about $460,000, Nesbitt wrote. He added that potential for an attack like this one is a problem faced by all cryptocurrencies, and doesn’t mean Ethereum Classic was especially vulnerable.


Source
Author: Laura Hautala
Image Credit

Crypto Exchange Bittrex Believes Ripple’s XRP Is Not a Security, Adds Fiat Pairs for XRP and Ethereum Classic (ETC)

San Francisco-based cryptocurrency exchange Bittrex says it’s pairing XRP and ETC with the US Dollar. The new pairs are expected to launch in less than two weeks.

LIONBIT

The Bittrex listing highlights the exchange’s belief that XRP is not a security and comes at a crucial time, as Ripple faces several securities fraud lawsuits.

In May, Bittrex said the company “uses a robust digital token review process to ensure the tokens listed on the exchange are compliant with U.S. law and are not considered securities.”

TIP

Bittrex is slowly rolling out its USD markets, enabling the option for an increasing number of pre-approved customers.

“As we continue expanding fiat markets to the top tokens on Bittrex, we’re not only offering customers a streamlined experience to purchase digital coins on Bittrex directly with US dollars, but we’ll also be offering customers USD trading pairs that may only be found on our platform.

We’re going to continue adding tokens to our USD markets, providing our customers even more convenient, fast and secure trading options as well as access to some of the world’s most innovative blockchain projects.”

Ethereum Classic also shot up more than 30% on news that it is now listed on Coinbase.



Here at Dollar Destruction, we endeavor to bring to you the latest, most important news from around the globe. We scan the web looking for the most valuable content and dish it right up for you! The content of this article was provided by the source referenced. Dollar Destruction does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. As always, we encourage you to perform your own research!

Source
Author: Daily Hodl Staff
Image Credit: 

 

 

Don’t forget to join our Twitter channel for Crypto, Business & Technology news delivered to you daily!


Coinbase Begins Taking Ethereum Classic Deposits, Raises Buy Limit to $25,000

It’s been a tough week for most cryptocurrency investors, as the groundbreaking news that the world’s largest stock exchange operator is launching a bitcoin market failed to translate into bullish price movement. For ethereum classic supporters, however, the week could not have gone much better.

LIONBIT

Coinbase Pro Begins Taking Ethereum Classic Deposits

Over the past two days, ethereum classic has been listed on two of the most prominent cryptocurrency trading platforms.

Yesterday, as CCN reported, ethereum classic became the sixth cryptocurrency listed on stock trading app Robinhood, whose crypto trading service is now available in 19 U.S. states.

Earlier today, ethereum classic marked another milestone, as industry giant Coinbase began accepting ETC deposits on Coinbase Pro (formerly GDAX), its order-book cryptocurrency exchange, with trading against both USD and other cryptoassets slated to commence later in the week.

Ethereum classic is not yet available through the firm’s eponymous brokerage service, though it will presumably be listed once the market stabilizes on Coinbase Pro.

The two announcements have spurred a significant ETC price rally. Over the past week, ethereum classic has risen in value by more than 11 percent against the U.S. dollar, making it not only the top performer among coins with market caps in excess of $1 billion but also the only large-cap cryptocurrency to see positive price action over this period.

At present, ethereum classic is trading at a global average of $18.59, which provides it with a $1.9 billion market cap and ranks it as the 12th-largest cryptocurrency.

Coinbase Raises Daily Buy Limit, Nixes 5-Day Waiting Period

Also on Tuesday, Coinbase rolled out several improvements to its brokerage platform. First, the company raised the default daily buy limits for Coinbase users to $25,000, a seven-fold increase over the previous maximum, and eliminated buy and sell limits for wire transfers.

Perhaps even more significantly, Coinbase will now allow users to begin trading cryptocurrency immediately following a purchase. Previously, users had to wait for the bank transfer to settle before receiving their funds, a process that could take up to five business days. Now, users will be able to trade those funds immediately, though they will not be able to transfer them into an external wallet until the bank transfer clears.

This latter update is particularly notable since it brings Coinbase’s settlement policy in line with that of its major cryptocurrency brokerage competitors — Robinhood, Circle Invest, and Square’s Cash App — all of whom make funds available for trading immediately after the purchase.

Coinbase President and COO Asiff Hirji lauded the move, calling it a “meaningful improvement” for the firm’s customers.



Here at Dollar Destruction, we endeavour to bring to you the latest, most important news from around the globe. We scan the web looking for the most valuable content and dish it right up for you! The content of this article was provided by the source referenced. Dollar Destruction does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. As always, we encourage you to perform your own research!

Source
Author: Josiah Wilmoth
Image Credit

Don’t forget to join our Telegram channel for Crypto, Business & Technology news delivered to you daily.

Robinhood Lists Ethereum Classic (ETC) Day Before Rival Coinbase

US-based stock and crypto trading app Robinhood added support for Ethereum Classic (ETC) on Monday, just a day before rival Coinbase lists the coin on its platforms.

LIONBIT

“Starting today, you can invest in Ethereum Classic on Robinhood Crypto, commission-free,” an official blog post read.

The ETC option, taking the number of digital assets listed on the platform to six, is available to traders in the 19 US states with access to Robinhood Crypto, the company added.

The crypto trading platform was launched in February with support for Bitcoin (BTC) and Ethereum (ETH). In recent months, Robinhood, which achieved a $5.6 billion valuation in May at the conclusion of its $363 million Series D funding round, expanded the range of supported cryptocurrencies, listing Bitcoin Cash (BCH), Litecoin (LTC), and Dogecoin (DOGE).

Notably, Robinhood users can also monitor market data, read cryptocurrency news and create price alerts for 10 other coins — Ripple (XRP), Monero (XMR), Bitcoin Gold (BTG), Dash (DASH), Lisk (LSK), NEO (NEO), OmiseGO (OMG), Qtum (QTUM), Stellar (XLM), Zcash (ZEC). Considering the company’s ambitious expansion plans and steep development since the start of the year, the aforementioned assets are also possible future additions to the trading service.

One step ahead of rival Coinbase

Robinhood’s decision to list Ethereum Classic follows a similar announcement by Coinbase. The rival company revealed last week that it had begun final testing for the cryptocurrency and will begin accepting transfers in ETC on Tuesday, August 7.

Robinhood, which is a strong competitor to Coinbase in the US market, must have decided to step up its development effort for adding ETC so that it could have its support ready before Coinbase.

Robinhood co-founder and co-CEO Baiju Bhatt said in an interview with Fortune earlier this year that the company plans to bolster its cryptocurrency trading service and outstrip Coinbase, which currently has around 20 million users. Bhatt remarked that, unlike its main competitor, Robinhood is already a registered broker-dealer with the Securities and Exchange Commission (SEC).

“We expect by the end of the year to be either the largest or one of the largest crypto platforms out there,” Bhatt said.

TIP

ETC price on the up

The flurry of listing announcements has boosted the price of Ethereum Classic. Over the past few days, ETC jumped from around $14 to over $18, representing a 28% gain. Now the coin has officially surpassed the market cap of NEO and Monero, currently ranking as the 12th-largest digital currency, with a market capitalization of $1.9 billion, according to Coins.Online data.

In the past 24 hours, ETC has gained just over 6% to trade at $18.28. The coin’s hike came amid a generally subdued crypto market, where most assets remained in the red throughout the day.


Here at Dollar Destruction, we endeavor to bring to you the latest, most important news from around the globe. We scan the web looking for the most valuable content and dish it right up for you! The content of this article was provided by the source referenced. Dollar Destruction does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. As always, we encourage you to perform your own research!

Source
Author:  Deyana Laguna
Image Credit 


Don’t forget to join our Twitter channel for Crypto, Business & Technology news delivered to you daily.


Ethereum Classic Spikes 25% on Coinbase Listing News

The price of ethereum classic, the cryptocurrency that was hard forked off the ethereum blockchain in July 2016, surged for 25 percent on Tuesday, following the news that it is being added to crypto exchange Coinbase for trading.


Join in the fun and play on the world’s First Hybrid on-line Casino with BTC and Fiat currency payments. Check on-line for latest promotions.


The U.S. exchange announced on Tuesday morning in a blog post that it is now starting the engineering work to integrate ethereum classic with its platform. A further date for formally launching the trading of ethereum classic on Coinbase will be announced on Sept. 5, the company said.

Data from CoinMarketCap shows that the price of ethereum classic started to jump around 01:30 UTC on Tuesday, after Coinbase first tweeted out the announcement at 01:18. It has further surged from $12.88 to as high as $16.15 at around 2:00 UTC, reflecting a 25 percent gain in just half an hour.

The move also comes just months after Coinbase reiterated in March that it had not made any decisions for adding new assets, following a similar note made in January.


Don’t forget to join our Telegram channel for Crypto, Business & Technology news delivered to you daily.


“The internal asset selection committee has been assessing assets using our Digital Asset Framework, but no assets have been recommended to the Coinbase executive team,” the company said at the time. Yet Coinbase has not explained what has made a difference in the past three months that led to the change of the thinking of its asset selection committee.

Also notably, the decision to add ethereum classic arrives after some in the industry had questioned Coinbase’s asset selection process to be “random, if not altogether dubious.”
As previously reported by CoinDesk, the reason for such question partially stemmed from that Coinbase added support for bitcoin cash, just months after the cryptocurrency was created out of a hard fork from the bitcoin blockchain. Yet at that time, the firm had not embraced ethereum classic after a year since the cryptocurrency was hard forked off the ethereum network.


Here at Dollar Destruction, we endeavour to bring to you the latest, most important news from around the globe. We scan the web looking for the most valuable content and dish it right up for you! The content of this article was provided by the source referenced. Dollar Destruction does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. As always, we encourage you to perform your own research!

Source
Author: Wolfie Zhao
Image Credit

What to Expect When Ethereum Classic Diffuses Its ‘Difficulty Bomb’

Join in the fun and play on the world’s First Hybrid on-line Casino with BTC and Fiat currency payments. Check on-line for latest promotions

Ethereum classic (ETC) is set to fork in the coming days as part of a bid to diffuse a so-called ‘bomb’ in its code.

Set for block 5,900,000, the change, in which all users of the original ethereum blockchain will need to update their software, is meant to disable a feature that is designed to increase the difficulty of mining the protocol’s rewards ahead of a shift to a new consensus algorithm.

Such changes, originally envisioned as part of the roadmap now continued by the ethereum blockchain, would render ETC mining unprofitable if allowed to persist.

Advocates in the ethereum community argue that proof-of-stake systems are more energy efficient than their proof-of-work counterparts. However, Anthony Lusardi, developer and director of ETC Cooperative, a community development and marketing body for the protocol, argues this is yet another point on which the ethereum and ethereum classic communities disagree.

As such, he sought to frame the impending removal of the code as another way the ethereum classic project is attempting to differentiate since the 2017 split.

“Proof-of-work seems to be the most decentralized approach currently to achieving consensus from what the majority of the community feels,” Lusardi said in an interview.

Lusardi said : 

“There’s a lot of new algorithms being proposed like proof-of-stake, delegated proof-of-stake and byzantine fault tolerance, and within our community we’re not convinced that these newer versions of consensus are any more decentralized and we’re somewhat afraid that they may be more centralized than say proof-of-work.”

Don’t forget to join our Telegram channel for Crypto, Business & Technolgy news delivered to you daily

Ethereum classic’s decision to uphold its proof-of-work system was not made in haste. In fact, discussions started in 2016 after the collapse of the smart contract-based funding project The DAO, which triggered the original splintering of the ethereum and ethereum classic blockchains.

In January 2017, the ETC community moved to fork their blockchain to delay the bomb to allow for more deliberation time.

“We didn’t know if we were going to move to proof-of-stake or stay with proof-of-work and there were a lot of discussions. We realized we didn’t have enough time,” Igor Artamonov, CTO of the ethereum classic development team, said :

“By now, however, proof-of-stake systems have been better explored”, Lusardi said.
He contends that proof-of-work systems better resist centralization because mining requires continuous infrastructural investment in hardware. Conversely, once a participant achieves an “economic majority” in a proof-of-stake system, he said, “there doesn’t seem to be much to ever stop them from having it.”

Ethereum classic developer Cody Burns agrees. “The entire premise is that you would put normal money into the system to buy a stake in it, and banks and large institutions have unfair amounts of capital compared to normal participants,” he said.

“We would have spent the last four or five years just reinventing the modern financial system that we have now. Same actors, same players,” he added.

Mass destruction? Unlikely

Hard forks have proven contentious in the past due to the potential for networks to split if miners fail to update their software or if some users decide to keep the network going with old code. But, Lusardi, Artamonov and Burns all said they don’t anticipate the upcoming fork to spark any controversy or technical difficulties.

The majority of nodes and miners have already updated their software, which was released three months ago, they said.

Major ethereum classic developer and tech company IOHK has also followed suit. It released its node client Mantis V1.1 three weeks ago with hard fork integration so its users had sufficient time to update, IOHK’s ethereum classic community manager, Kevin Lord, told CoinDesk.

“There have been extensive announcements, discussions and careful review of the proposal,” he said, adding that the company will “be keeping a watchful eye on the network.”

However, the developers noted that exchanges could be potentially unaware of the fork, but suggested the risk was small. Nonetheless, Lord said he recommends that users maintain control of their private keys and do not store their tokens on exchanges.

The developers anticipate that the fork will benefit the community, and not only by eliminating the mining difficulties caused by the bomb. The fork is also expected to reduce the amount of time it takes to create a block.

“Right now we’re on 26 minute block times on average, so this will take us back down to 14,” Burns predicted.

Some users may be disappointed with the fork, however, because the network upgrade will not result in an airdrop or the creation of a new coin unlike other types of hard forks.

All in all, the disabling of the bomb will likely pass without much notice, the developers said.

“We tend to not have very contentious forks,” Lusardi said.


Here at Dollar Destruction, we endeavour to bring to you the latest, most important news from around the globe. We scan the web looking for the most valuable content and dish it right up for you! The content of this article was provided by the source referenced. Dollar Destruction does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. As always, we encourage you to perform your own research!

Source
Author Annaliese Milano
Image Credit

Here Is Why Ethereum Classic (ETC) Could Reach $500 By Dec 2018


Join in the fun and play on the world’s First Hybrid on-line Casino with BTC and Fiat currency payments. Check on-line for latest promotions. 


 

Ethereum Classic (ETC) is probably one of the most boring coins to trade in the crypto market. It also remains sluggish for the most part. However, when it does rally, it is hard to catch up with. This might have to do with the audience it derives interest from. Some investors who buy Ethereum Classic (ETC) do so out of principle, believing it is the real Ethereum and that the forked version, Ethereum (ETH) has lost its true vision. Then there are those who invest in Ethereum Classic (ETC) thinking it is an extremely undervalued coin and that it has a lot of catching up to do, thus also having the potential for most gains. A third group of investors buy Ethereum Classic (ETC) because they believe in the vision and leadership of Charles Hoskinsons and Barry Silbert to frame the future of this mysterious cryptocurrency.


Don’t forget to join DollarDestruction’s NEW telegram channel! At least 15 news articles delivered to you daily!


The future success of Ethereum Classic (ETC) lies in mainstream adoption and its backers know it. While principles of “code is law” and “immutability of blockchain” may appeal to a limited audience, the question is whether a staunch stance like this is really worth it? This argument has come at a time when Cody Burns is preparing to push for allowing ASIC mining of Ethereum Classic (ETC). While this may appear to be a big move, most miners already admit that general purpose hardware is prone to being outwitted by custom hardware using advanced tactics to dominate an algorithm. This move may hurt Ethereum Classic (ETC)’s long term stance regarding immutability but it will attract a lot of miners to start mining Ethereum Classic (ETC).

Recently, Barry Silbert’s Grayscale listed its ETC Fund on OTCQX which means traditional investors will now be able to buy Ethereum Classic (ETC) without actually owning the coin. Grayscale will hold Ethereum Classic (ETC) coins on behalf of its clients who will be able to buy shares of ETCG at a price of 0.97 ETC per share. ETCG shares can be traded over the counter without having to worry about market volatility. Previously, only accredited investors were able to buy ETCG shares but now any investor can.

Ethereum Classic Chart With Values

ETC Dev and ETC Cooperative members including Athony Lusardi were seen at Consensus 2018. The team is actively building a loyal following as well as seeking partnerships with other blockchain projects and exchanges. Recently, London Block Exchange announced that investors can now buy Ethereum Classic (ETC) paying with GBP.  Ethereum Classic team is seen to be active on Twitter educating prospective miners about how to mine ETC. Another big event for Ethereum Classic (ETC) will be held in Seoul, South Korea on September 12th to 13th according to Barry Silbert. Ethereum Classic (ETC) currently trades in a rising bullish channel and the monthly chart signals an imminent outbreak towards new highs. Recently, Thomas Lee of Fundstrat tweeted that they see Ethereum Classic (ETC) at $60 and ETCG at $70 by end of the year.


Here at Dollar Destruction, we endeavour to bring to you the latest, most important news from around the globe. We scan the web looking for the most valuable content and dish it right up for you! The content of this article was provided by the source referenced. Dollar Destruction does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. As always, we encourage you to perform your own research!

Article credit