After just weeks of proposing security upgrades on its system, the Ethereum Classic Network suffered another 51% attack that reorganized more than 7,000 of its blocks following the first and second attacks, which reorganized 3,693 and 4,000 blocks, respectively this month.
Ethereum Classic was hit with another 51% attack — for the third time in a monthhttps://t.co/i4RGOfpwAT— The Block (@TheBlock__) August 31, 2020
The attack was confirmed by the network on their social media account and eventually noted that they would look closely at this case to make sure it will not happen again. The Ethereum Classic (ETC) came up with a plan to improve its security details to get away with attacks like this in the future after all the challenges it faces over its platform. The upgrade, as cited by Cointelegraph, includes defensive mining cooperation with mining pools to consistently maintain and even increased hashrates, advanced network monitoring, whitelisting addresses, and a finality arbitration system to inhibit chain reorganization.
While ETC is still making progress in evaluating proposed solutions, we are aware of the current risk to the network at these low hash rate levels.— Ethereum Classic (@eth_classic) August 29, 2020
To miners, exchanges, and other service providers we suggest keeping confirmation requirements levels well above 7K for now. https://t.co/l6nwIy5mL2
The Austrian mining company, Bitfly, identified the attack on August 29, the same company that helped ETC identified the first two attacks this month. With limited information shared publicly, Decrypt said that one of the reasons the attack happened was that there’s far less computational power backing Ethereum Classic than on larger blockchains, like Ethereum or Bitcoin, meaning it’s not so difficult to briefly rent enough computational power to gain majority control over the blockchain. Because of these frequent attacks, Cointelegraph said that some exchanges like OKEx warned ETC it would delist the network due to its severe lack of security.
However, Coindesk explained that the digital asset seems considerably unaffected by the series of attacks, trading at $6.86 at last check, less than 4% below its price during the second attack. The coin has exchanged between $6 and $8 for nearly the entire month of August.