Bitcoin Gold: 51% attack is no longer a problem
The security of the crypto industry is perhaps one of the most important aspects in modern work with digital assets. Since coins cost tremendous money, their reliability should be ensured by all possible means. Moreover, hackers are constantly developing, inventing new and new ways of hacking popular coins. However, it is necessary to move gradually, dealing with classic attacks. In this direction, the developers of Bitcoin Gold have made great strides. The creators of the coin found a way to protect themselves from 51% attack. Next, we will tell you everything you need to understand about a useful protection technique. So let’s get started.
About company
First, a little bit about Bitcoin Gold. For a long time we did not remember about this cryptocurrency. The fact is that the company moves in too measured steps. Yes, it is one of the market leaders, but BTG rarely appears in news reports. Note that this is surprising, because the once little-known company, which appeared as an alternative to Bitcoin, today has become a really famous and safe company. So there is nothing surprising in the increased attention to the coin. Hackers even try to crack BTG, because large amounts of crypto cost a lot of money.
The classic 51% method is used for attacks. The fact is that cryptocurrency works on the already quite outdated Proof-of-Work algorithm. This system has a serious drawback. Having captured 51% of all capacities in the Blockchain, the owner of the equipment will be able to independently change the coin system. Thus, theoretically, just capturing most of the equipment, anyone can transfer all the money to their accounts and earn huge money.
This is precisely the “51% attack”. Hackers attack the server, creating an imitation of the fact that they have a really large part of the power. And this is really a big problem that is found in all coins built on the Proof-of-Work. But the creators of Bitcoin Gold found a way to resolve the problem. In the next section, we will consider the solution of specialists.
Developed solution from Bitcoin Gold
The creators of BTG noticed the suspicious activity of one of the users a week ago. Quite unexpectedly, one user with tremendous computing power entered the system. Mining was immediately discovered. But the experts did smarter. They warned the owners of exchanges, mining pools and exchangers that they are preparing an attack on the Bitcoin Gold system. So, externally, the network did not receive any changes; work continued in a given way.
But the developers managed to create the so-called “recovery current”. On the block under the number 640650, the network, in fact, was divided into two branches. One of them is official, and the other is for fraudulently mined blocks. And, after the attack ended, the developers simply turned off the dishonest part of the system. Thus, the attacker was at the most disadvantageous position – his efforts were invalidated, and the coins mined were blocked. Currently, developers are tracking the cracker to hold him accountable.
Experts also recommend that all users update the Blockchain so that they do not accidentally come into contact with illegal coins. The situation did not affect the price of the currency, all thanks to timely action. Now each coin on Proof-of-Work can use the example of Bitcoin Gold and reflect 51% attacks in time. So the event is much more important for the security of the crypto industry than it seems.
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