The ETC traders remained unphased by the potential 51% attack when the platform became a target of what the investigators are still trying to determine as we have reported previously in our Ethereum Classic news.
The ETC traders remained unphased once the blockchain became a target of a 51% attack as they allow changes to the immutability of the blockchain by overpowering the processing capabilities of the miners of the legitimate blockchain. These attacks can double-spend the assets and perform other actions but the investigators believe that this could have been a poorly timed glitch on the network.
Ethereum Classic might have been targeted by the 51% attack which is known to compromise the blockchain and execute a double-spending transaction attack that credit the attacker with the free money from the platform. The developers requested that exchanges and mining pools suspend their ETC deposits and transfers until they figure out what is happening there. Poloniex for example suspended trading while other exchanges such as Binance have not. The price of the coin remained stable and the trading volume for ETC has not dropped after the hack according to CoinGecko.
Ethereum Classic is the leftover blockchain from the 2016 hard fork and it still operates as an independent project. According to one analyst Yaz Khoury, the head developer of relations at Ethereum classic cooperative, the attack likely took place on August 1 when someone mined 3,693 blocks on the blockchain. The additional blocks were far more than the blockchain could handle because incorporating them will require recalculating a few hours worth of solved block hash.
The block was added while 2miners mining pool, was offline due to maintenance. Since they were providing the vast majority of the hash power, they will otherwise stop the invalid blocks from becoming a part of the chain. When the pool was online, it had competing miners picking up the chain containing the rough empty blocks. While the exchange was off, one single source of the mining power of more than 3000 blocks that were accepted as the real ETC blockchain despite not being verified when they were created by other miners.
Khoury noted that the nature of the attack was as well as the added blocks and many of them contained no transactions at all.
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